Aug. 20 at 7:53 PM
$PAXS $PDI $PDO best way to compare is to see what their NAV was back on Oct 23, 2023. There is no point looking at what the actual price was because these can trade at a premium/discount. This will tell us how good managment has been in buying bonds and allocations. I am using 10/23/23 as that is when rates were peaking - 2Y: 5.05%, 10Y: 4.86%, 30Y: 5.01%. TLT was 82.42 for reference. TLT is actualy 82.42 right now.
PAXS - 14.06. Its nav right now is 14.60
PDI - 16.19. Its nav right now is 15.68
PDO - 13.31. Its nav is 12.78
As you can see PAXS has been growing their NAV. The whole point about bonds is to be able to collect the distribution while trying to preserve the cost basis (NAV). This is especially true in a high rate (normal environment). Right now, PAXS is the best. It also is the best in covering its dividend as well as NUII.
Don't just look at yield and say thats the one you want. Bonds are way more complicated. Especially when you start adding in leverage.
