Buy for a “Double Discount”

Article Excerpt

CANADIAN GENERAL INVESTMENT TRUST $28.89 (Toronto symbol: CGI) (110 Yonge Street, Suite 1601, Toronto, Ontario. M5C 1T4. 1-800-207-0 067. Buy or sell through a broker) mainly invests in shares of Canadian companies of average or above-average quality. The fund is well diversified by economic sector. The trust’s discount to its net asset value is now 14%. Its MER is 1.6%. THIRD CANADIAN GENERAL INVESTMENT TRUST $44.90 (Toronto symbol: THD) holds around 74.5% of its assets in units of Canadian General Investments. The rest of its holdings are mostly high-quality income trusts and stocks. Its top holdings include Canadian World Fund, Northern Property REIT, Home Capital Group, First Capital Realty, Apple Computer, TransForce Income Fund, ARC Energy Trust and SanDisk Corporation. The trust’s discount to its net asset value is now 18%. Its MER is 0.7%. Since Third Canadian trades at a discount to its asset value, as does its main holding, Canadian General, you might say Third Canadian in effect trades at…

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