Update: THQ spiked up to $17.80 and we are not buying. Holding a Limit Order at $17.50
June 20, 2019. Today we are buying Tekla Healthcare Opportunities Fund (THQ) a closed end fund paying 7.66%. THQ should open around $17.50 but with the market indicating +230 points today, the price will probably go up forcing us to pay more. Note that THQ is running a 10% discount to NAV.
Sub-Sector Allocation as of 3/31/2019
|Health Care Providers & Services||21.7%|
|Health Care Equipment & Supplies _x000D_||13.1%|
|Real Estate Investment Trusts||5.8%|
|Medical Devices and Diagnostics||5.3%|
|Life Sciences Tools & Services||3.7%|
|Other Assets in excess of Liabilities||1.8%|
Tekla Healthcare Opportunities Fund
Ticker Symbol: THQ CUSIP: 879105104 Exchange: NYSE Security Type: Closed-End ETF — ETF
|FUND DESCRIPTION: Tekla Healthcare Opportunities Fund (the Trust) is an exchange-traded closed-end fund (CEF) or a closed-end ETF that is officially described as a non-diversified, closed-end management investment company. INVESTMENT OBJECTIVE: The Tekla Healthcare Opportunities Fund seeks current income and long-term capital appreciation. FUND STRATEGY: The Trust expects to invest 50-85% of its Managed Assets in equity securities (which may include common stock, preferred stock, convertible securities, and warrants or other rights to acquire common or preferred stock) as measured at the time of investment. Of the 50-85% of its Managed Assets that are invested in equity securities, the Trust will not invest more than 20%, as measured at the time of investment, in convertible securities not to exceed 30%. The Trust will not invest more than 15% of its Managed Assets in debt securities, including corporate debt obligations and debt securities that are rated non-investment grade.|
We attended the Seattle ‘Moneyshow’ last week, seeing Steve Forbes, Chairman and Editor of Forbes, (who we are listening to right now on FOX Business as we write this) and many other ‘financial gurus’ that we have been reading for literally decades. Attendance was a first for us, and it is quite the thrill to meet and talk with people that you admire. Altho we did not come away with any specific ‘hot’ investing ideas (disappointment), the educational experience was amazing. The speakers have been in the ‘biz’ for many decades, and you gain a huge understanding of financial markets.
The return trip back to Chicago was going to be via Amtrak in a ‘sleeper’. Due to the breakdown of the specific rail car, passengers were assigned to coach-class, essentially an oversized chair. This turned out to be a two day horror show with the inability to sleep during the night. Having traveled nation-wide over the last many years on Amtrak, and having a wonderful time, this particular trip was a nightmare.