Quote:
Originally Posted by Chatbrat
Gabelli Utility Trust (GUT)--currently paying 9.12% AND if you reinvest your dividends you get the additional shares @ a 5% discount below mkt--they pay dividends monthly compounded over 15% per annum--had this stock forever
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And if you have owned it forever you're probably OK. But that is a closed end stock utility fund that is currently trading at a 46% premium to it's net asset value. In other words, you could buy the stocks the funds owns for 46% less than they are charging for them through that fund. I would consider any fund trading at that high of a premium a very high risk.