I came across Boulder Growth & Income Fund (BIF: chart, web, Y!) while browsing through some investment discussion boards.
Boulder is a closed-end investment management company that primarily invests in domestic common stocks, corporate bonds, and United States treasury bills. The fund also invests in various foreign common stocks. Its portfolio consists of investments in beverages, RICS, financial services, food, insurance, manufacturing, REITs, S&L, retail, and pharmaceutical industries.
BIF caught my eye quickly when I saw they are paying a 12.5% dividend in monthly installments, much like my Cornerstone Strategic Value Fund (CLM: chart, Y!) holdings. Naturally the dividend payout fits in nicely with my retirement holding strategy.
Only recently has BIF started a regular monthly payout. Up until May of this year, the distribution has been sporadic at best.
It’s interesting to note that the stock traded at a discount to the net asset value (NAV) until the fund started paying a regular monthly dividend. Now it’s trading at a premium, much like CLM. The difference is that the BIF net asset value still shows signs of increasing, while the CLM NAV is falling off while the stock price is climbing. Not a good combination for CLM.
BIF Nav/Discount Chart
BIF Share Price vs. NAV
Source: ETFConnect
Insiders have been buying up BIF in fairly regular and healthy installments. There is a wide array of institutional holders, but the mutual fund following is nearly non-existent.