Hi, Brenton.

BV> PE> No thanks.  There's two sorts of lending, margin lending and
BV> PE> SOMETHING_ELSE
BV> FM> There's no doubt plenty of variations. I thought this one was
BV> FM> interesting from the POV that you can't lose.

BV> Me too. That's why I requested a copy of the info when you get it.

I've got it, haven't read the detail yet. It seems to just say the same
as I said, with more detail and examples of the calculations. I'll stick
a copy in the mail on Monday.

BV> Of course you can still loose, but if it is as it reads then your
BV> total exposure is to the interest component and you know what that
BV> is up front. It allows you to make a judgement call and know what
BV> your worst case scenario is in the event of a total failure.

You don't quite know, because you don't know for sure what divs the
company is going to pay or the interest rate if you choose the floating
rate option.

You also have the cash flow problem - you're paying the interest monthly
but the divs will come half-yearly and the tax advantage up to 18 months
later, I suppose.

Finally, those pricks in Canberra are threatening to fiddle with the
dividend imputation system, which would very much stuff up something
like this.

I have also had a thought which could lessen the cost even further, but
I'll need to read the thing more carefully and ask them a couple of
questions.

Regards, FIM.

 * * The Bitch is Back      ...ALIENS 3 trailer...
@EOT:

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