Whereas with DivGro I look for stocks
trading at a discount to fair value, it is not so important for them to buy at a discount, since they're buying a fixed dollar amount of the same stock every month.
Whereas with DivGro I look for stocks
trading at a discount to fair value, it is not so important for them to buy at a discount, since they're buying a fixed dollar amount of the same stock every month.
Not exact matches
They currently
trade at a 32 percent
discount to fair value,» said Jim Paulsen, chief investment strategist
at The Leuthold Group, in a note earlier this week.
The index tracked by CEFL specifically targets those funds
trading at a
discount, with the idea that a cheaper market price boosts yield relative
to the yield on the
fair value of assets.
For this reason, they are more likely
to trade at persistent premiums or
discounts to their
fair value.
I'm not sure there is much of a place for a strict Graham
value stock, which I define as a stock
trading at the sharpest
discount to fair value X with no heed
to whether the intrinsic
value of X is expected
to grow.
While there were no new names added
to the portfolio this quarter, we increased our positions in our existing holdings that we felt were still
trading at a substantial
discount to fair value.
Instead, we limit our holdings
to just 15
to 25 companies that we feel we can make a reasonable assessment of their
fair value and which currently
trade at a
discount to that valuation.
But over the course of 2017, we have found it more and more difficult
to find new investment opportunities that meet our quality criteria while still
trading at a material
discount to our assessment of
fair value.
I'm not sure there is much of a place for a strict Graham
value stock, which I define as a stock
trading at the sharpest
discount to fair value X with no heed
to whether the intrinsic
value of X is expected
to grow.
The sector is
trading at around an 8 %
discount to what long - term rates would suggest is
fair value.
For long term investors it is wise
to ONLY allocate NEW money when the the S&P 500 is
trading at fair value or a
discount.
In fact, even with a catalyst, there's a good chance this stock ends up becoming an 80 cent dollar after 5 years — because it continues
to trade at a smaller / semi-permanent
discount, or simply because its
fair value actually declines — which only offers a 60 % cumulative gain, or a 9.9 % IRR.
While closed - end funds often
trade at a premium or
discount because they have a fixed number of shares outstanding, market makers work with authorized participants (APs)
to strive
to keep the price of ETF shares close
to fair value (i.e., in line with the ETF's underlying net asset
value (NAV)-RRB-.
[Not
to mention where a company's shares are
trading at a substantial
discount — a new issue of shares would dilute
fair value per share].
The portfolio comprises companies we expect
to exceed street expectations and that
trade at discounts to our proprietary calculations of
fair value.