Nov 19, 2012|
Stock Talk - Cara Esser, Bloomberg News
Transcript - Not for consumer use. Robot overlords only. Will not be accurate.
Well it's time to talk stocks we talked stocks bonds ETS unit investment trusts were joined today by -- answer from Morningstar good morning Carol welcome to the show. -- They aren't good morning hey you know it consumers out there today I can't tell you how many people I talked to say. I'm not making enough on my CDs. It would appear at least there the Royce value trust is is something that would create yield in might be considered. And income producing investment know. That's exactly right it's a closed -- fund that invests -- small cap -- equities and right now selling at a 13% discount which yield about 6%. That's pretty again looking at the yield five point 8%. You can buy it for twelve dollars and 44 cents what are some of the risks associated with an investment of this nature. I'm the biggest threat to life and leverage despite uses. Protective leveraged to to gain that how it targets more -- -- -- expressed -- cap fund so. I think it's the market goes down as I'm going to be hurt a little bit more than just a -- that doesn't use any kind of leverage. Okay and is the same can be said then for the Alliance Bernstein income fund the symbol for this fund is ACG. Yes that's exactly right that -- also uses leverage mostly in the form of debt on an investment in government. Government -- so it's relatively state except for the leverage obviously. And -- I'm looking at a price range on this during the last 52 weeks it's been as low 79 DA to share and his ties 83. Right now trading at 848 so is this a target price for. I did it get pretty good get carried out about 10% and again the -- unhappy about 6% so it's it's relatively fairly baggage that went out over undervalued but it. It could potentially point. And K and then the last one is the Gabelli equity trust -- GA be this one. Only a 1% yield seemingly am I getting married. I'm an -- 10%. At that in that 10% and that it. Actually selling right right at its net asset value so desperately would say it is fairly valued at this point. Very good very good all right well you don't want to always good to get -- I looked at some income producing investments and he is gave us the recent thank you very much Iraq. Kara -- for Morningstar giving us three income producing. Closed end funds. Art ET ACG. And GAB. All with -- pretty good yields on on those investments. We we've been talking about whether or not you think unions have outlived their usefulness when I find striking. About the text messages -- Is. A lot of -- the vast majority of listeners that the unions here have gone away of the buggy -- via but. Most of the guys that are in unions are texting and saying they hate their union. -- think that -- by surprise I'm wondering why an ally. You know that most the people it's it's I find this really and you -- it. You know at like seven it -- as I'm an airline union in the only thing that the good that is if you lose that job of that get -- back for. -- across the -- it just seems like union guys that are listening to the program anyway hate the union. For which they -- -- a couple people have taxes insane -- a lot of abuse without the union. And it maybe your -- and 36 dollars isn't breaking. And it maybe he wouldn't have vacation time now health benefits. Things like that there was a union -- And there's a lot to a lot going into this. This. The whole story about hostess we are going to be joined in the second hour. By a reporter from Bloomberg who's followed this very closely and try to get him to give us both sides of this -- story you know so. Those of you who are pro union and we do have some listeners children texting insane -- You're a jerk referred to open on the union's. State too because you there's something here for you to and I like what 50 it says because I think -- as well most people who were against unions have never worked in union -- no light. But it it but that's not. Consistent with a lot of the text messages -- -- -- -- and these are union guys that say I hate my union which goes back to say it all depends on the union particular union and the situation that's going. Well something. That we can all agree on I'm thinking. Is that. Tuition is expensive. Now college tuition is expensive unless you're an illegal alien. An illegal immigrant were to talk about that next on the financial.