Do retirement solutions come any better than a safe 8% dividend, paid monthly?
This is what we contrarian income seekers love about the Aberdeen Asia-Pacific Income Fund (FAX). It pays 8% annually, dishes its dividend every month and, thanks to the debt situation in China, trades at a 7% discount to its net asset value (NAV)!
Last week, we pointed out a “mini-panic” buying opportunity in FAX. Its price had suffered, but you wouldn’t know it by looking at the fund’s NAV—the value of its bonds minus debt—which has barely budged over the past month:
NAV Was Steady, Pullback Was Price Only
Its price had been punished because armchair market observers fear Evergrande and the Chinese credit markets.… Read more