Sunday, August 28, 2011

Weekend reads and comments

I focus this article on some new terms I came across and an article I stumbled into.

1. Warren Buffett buys some BOA shares: As everyone knows . Warren Buffet bought some BOA shares and that lifted the spirits of BOA investors. While reading on, I also noticed that Warren Buffet bought some preferred shares with a dividend. Since I have been reading about dividend investing these days I looked more into preferred shares. These are a hybrid between stocks and bonds with the caveat of no voting rights including and less chance of appreciation.Investopedia and Wiki have some information on shares. Has any of the dividend investors invested in preferred shares?

2. Gold prices: Although GLD more or less accurately tracks the price of Gold I was looking at different gold miners that track the gold. Taxes for GLD are cumbersome and hence the need to look for alternatives.
I came across a seekingalpha article.
I would like to add RGLD to the mix . As Yahoo finance puts it, Royal Gold together with its subsidiaries, acquires and operates precious metals royalties. RGLD has been closely aligned to GLD than AUY simply based on end price results for various terms. RGLD has a higher P/E ratio: higher 50s. Market CAP is around $4B and average volume is less than a million.

Disclosure: I do not have any positions in RGLD as I write this article.


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