Foreign bond closed end fund GIM e/r 0.7%

preben · 03-31-2005, 10:21 AM

Another day like yesterday where GIM (now developed mkt 50%, EM debt 50% based latest Feb holding list) dips even though its sister TEI(100% EM debt) is up a couple of %.

Since both run by Templeton one must assume same EM debt being picked (have not checked yet). They both hoover around the same 5% discount.

GIM now yields 5.5% and the developed part is in very safe and short bonds.

I declare GIM a buy at current price levels and if one believes (like Warren Buffett) that the USD has worse times ahead it is just an extra bonus.

Some will argue that the 5% is around the historical avg. of discount - and it could get worse as it has before - but for a fund with this good management and e/r+super diversification (now 50/50% developed/EM) I doubt we will see that. Nomatter what I get 5.5% in return while waiting for the gains.

Cheers!

Disclaimer: just bought myself!

charlie · 03-31-2005, 04:13 PM

Ben, I bought GIM at a 3% premium just days before
the big drop!

I still like it a lot and may buy
more ..... but waiting until I see evidence of an uptick.

Cheers,

Charlie

preben · 03-31-2005, 04:51 PM

Yeah - but getting 5.5% in interest while waiting for a rebound is just fine!

03-31-2005, 10:21 AM	#1
preben Recycles dryer sheets Join Date: Jul 2002 Posts: 420	Foreign bond closed end fund GIM e/r 0.7% Another day like yesterday where GIM (now developed mkt 50%, EM debt 50% based latest Feb holding list) dips even though its sister TEI(100% EM debt) is up a couple of %. Since both run by Templeton one must assume same EM debt being picked (have not checked yet). They both hoover around the same 5% discount. GIM now yields 5.5% and the developed part is in very safe and short bonds. I declare GIM a buy at current price levels and if one believes (like Warren Buffett) that the USD has worse times ahead it is just an extra bonus. Some will argue that the 5% is around the historical avg. of discount - and it could get worse as it has before - but for a fund with this good management and e/r+super diversification (now 50/50% developed/EM) I doubt we will see that. Nomatter what I get 5.5% in return while waiting for the gains. Cheers! Disclaimer: just bought myself!

03-31-2005, 04:13 PM	#2
charlie Thinks s/he gets paid by the post Join Date: Mar 2004 Location: Dallas Posts: 1,073	Re: Foreign bond closed end fund GIM e/r 0.7% Ben, I bought GIM at a 3% premium just days before the big drop! I still like it a lot and may buy more ..... but waiting until I see evidence of an uptick. Cheers, Charlie

03-31-2005, 04:51 PM	#3
preben Recycles dryer sheets Join Date: Jul 2002 Posts: 420	Re: Foreign bond closed end fund GIM e/r 0.7% Yeah - but getting 5.5% in interest while waiting for a rebound is just fine!

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