Ann: April 2020 Investment Update, page-72

This isn't an income oriented fund. It's a global fund.

Australian companies return most of their profit back to shareholders. Global companies, especially the companies they are investing in, do not follow this same pattern.

You have to remember... only Australian companies lack the ingenuity to use profits to expand, grow and reinvest. Especially American stocks, high dividends are seen as a failure on behalf of the company.

If we have to rely on high yield, to reduce this discount saga, we are all in trouble.

Just remember how lucky we all are for investing in the float. Yes, everyone told us never to do it... but we do it anyway.

We could have just waited and taken the 20% discount to NTA - but hey where is the fun in that.

Bottom line - no ifs - no buts - do not invest in closed funds at the float. Even with the nice incentives being offered - they don't match a 20% discount ever.

Anyway... it's always hard going when you have a go at WAM or GW. No one seems to want to admit they aren't what they used to be. The industry has gone ahead leaps and bounds. And here we have a bunch of LICs, advertising pre-fee performance figures, and NTA disclosures monthly in arrears. You want to find a dinosaur - you found it.

I would like to be annoyed at the massive discount. But this is just the new normal for closed funds... no one wants them.

ETMFs are the future.