ATLIF.PK is just the kind of little nugget I look for.
By Daniel at 11 December, 2009, 9:05 pm
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Although owning it in my US account will not permit reinvestment of dividends, it is still a good long term yield story, even considering there is a 15% Canadian tax withholding.
And as Jim Rogers noted yesterday, Canadian dollars is one of currencies he recommends, as a hedge against the declining US dollar. Since the div is calculated in Canadian dollars and paid in US, there is a chance of an increase in yield for US investors.
Think about looking for other foreign high yielders that trade on US markets, from countries that have a good currency future against the Dollar, like Australia. Some countries have treaties with US that don’t require tax withholding.
These would be prefect for investors using 401(k) funds that would be otherwise be restricted from purchasing foreign equities in their accounts.
“ATLIF sells at 8 times earnings, has a market cap of $600 million, pays just under 9 cents a month, or right around 10%, has net margins of 36% and, like all capital-intensive electricity providers, however, has a whopping 411% (4.11:1) debt-to-equity ratio.” - Joseph
- wunderbra
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