The distribution on this is somewhat fixed. They are paying out north of a 6%-7% yield. If you look at what is in it, there is nothing that yields that much. Looking at all the banks and the other income generating securities this owns, the average is about 4%. This is paying out about 3% extra, which is capital gain you would’ve otherwise been getting from the share price. This is why you are not seeing a lot of upside in the price movement of this ETF.
He doesn’t like this. It is basically an accumulation of different income products, but this is a return of capital, so you are getting what looks like a very high dividend, but it is not entirely a return “on” capital, but is often a return “of” capital, in other words a return of your own money.
iShares Canadian Financial Monthly Income E.T.F. is a Canadian stock, trading under the symbol FIE.A-T on the Toronto Stock Exchange (FIE.A-CT). It is usually referred to as TSX:FIE.A or FIE.A-T
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On , iShares Canadian Financial Monthly Income E.T.F. (FIE.A-T) stock closed at a price of $.