Some of you have requested (no demanded) that some of the really pertinent financial nuggets be spun off as new threads in All Views. Happy to oblige.
In a different thread re: a specific potentially undervalued stock, we had promised to share the importance of bearish opinions, shorts and hedge funds on keeping the marketplace healthy. As you read further, the significance will be self-evident.
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
Ok now that all of you have enjoyed the appetizer, let us move on to the main course, shall we?
What would you do if an investment in the low interest US environment offered 9% yield? Royalty trusts do just that. They collect income from some oil gas or mining properties and distribute it as dividend. Two days ago several of thee trusts fellabt 8% after announcing a cut in dividends.
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
These trusts have no employees ir physical assets.bthey just pass on income for say 20 yrs they receive from assets. A middle woman if you will. Since oil gas wells and mines deplete each year it is inevitable dividends they provide would decline.
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
When money dries up the trusts disappear and you don't get your money back. Dlfor example dividends since 2007 have halved (approx) since 2007 for some trusts.
To see how ridiculous valuations have reached:
The current value of al income streams for one trust is $1.4 billion. I hear a remotely located panchayat chief asking impatiently " what is that trust's market value?"
Easy there respectable elder!
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
The market value is $2.3 billion!! Yes I can hear a collective gasp from the readers. I AM SHOCKED says one respected manager. But we digress.
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
So investors have paid 60% more than what the Trust's incilome streams are worth. Fair to say even the non- financial types among us ( self included) get it.
So why are these Trusts OVERVALUED? Because investors have a herd mentality (common human failing - but that is a topic for another day and another sub forum).
So they jump onto the bandwagon and bid share prices of these trusts sky high. So friends know what oh are doing.
Some may wonder why we have not kept our promise wrt hedge funds and bearishness being healthy for the market.
Patience dear readers. All in due time.
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
First our staff would like to apologize for multiple typos. We have just recently migrated to a new software/ hardware.
Several academics among our readers chided us tot not providing the source. Sorry readers - the information was taken from today's WSJ.
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
why you talking to yourself buddy? 
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
You should try it PM!
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
Free lunch?
They don’t even give free soda or coffee anymore 
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
he forgot to login from other nick.
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
I’m sure so many other member do this,but they use their other account/nick.
Reason…koi aur unki bat se agree Kare na Kare apna multi to zAroor Kare ga 
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
Now Kin with 2z. Traffic jam ho raha hai is thread mein. Management allocates only one other poster in my thread. All of a sudden with PM and you gracing this thread there are some bandwidth issues it seems!
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
Thread post Karne ke liye hoti hai..
Frame kar ke showcase Mai rakhne ke liye nahi 
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
Woh Meri begum ko sunaye! Ghar ke achay plates glass vagairah showcase mein raksha gaya hai!
Paranthu Iski Royal Trusts se kya talluk?
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
For bringing traffic to this thread, our staff will provide free soda AND free coffee for you whenever you stop by our headquarters. Just identify yourself as Kin with 2z. However our health services Dept head cautions sodas are not good for you.
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
Woh Meri begum ko sunaye! Ghar ke achay plates glass vagairah showcase mein raksha gaya hai!
Paranthu Iski Royal Trusts se kya talluk?
Unko bolay GS join Karen.
Apki samsya ka hal hum nikal lege :p
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
And where exactly is this so called headquarters?
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
^ in court, a lawyer should not ask questions of his client when he does not know what the answer would be.
A poster should not ask a question to a moderator without ensuring moderator knows answer to said question.
Haven't you read forum rules?
Re: There is no free lunch - not even (or especially) wrt to Royalty Trusts
If hedge funds and bears covered this ssector, they might have provided a counter per the article. But then again, who knows. Big counter they provided during 2000 tech bubble and 2007 financial meltdown.