° All high yield assets have been crushed in this market - in some cases worse than equities.
° The declines in price and NAV of most CEFs have been nothing short of massive. Investors are selling anything and everything.
° This is all liquidity driven declines. What we are seeing are the pitfalls of a daily liquidity "wrapper" holding illiquid securities.
° It is still far too early to think about jumping in en masse and reloading up portfolios with leveraged CEFs. That said, we have a shopping list ready to go.
° We are in a 1% interest rate environment. Anything yielding in excess of that level has some assumption of risk. You must accept that risk if you want to produce.SA Article Continues