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The sharp rise in equities seems to be pretty premature–but markets do what they do and if investors think the pain of Covid 19 will be gone in 3 months they are going to be buyers now.

Unfortunately the pain is just beginning and will likely be with us for the next year-maybe more. Certainly some sectors will be living with the financial repercussions for years.

Many preferreds and baby bonds had big moves yesterday and so I will do some buying today–I am 55% invested and will add 5% more today. The 55% I have invested are almost all investment grade utility and CEF preferred bought at nice discounts–now I will spread out into some junkier issues.

Here is some of my shopping list for today.

I am looking at buying one of the Annaly Capital (NLY) preferred issues giving current yields in the 10% area.

I am going to buy some Brookfield Property REIT (BPYUP) preferreds – BPYUP with a current yield in the 12.49% area.

I will add some more of the American Homes 4 Rent (AMH) issues–in the 6.75% current yield area.

I am buying some Compass Diversified (CODI) preferred with current yields in the 11.41% area.

I have already been trying to place some orders and the spreads are so wide as to be ridiculous–but I am certain by days end I will have bought some of the issues mentioned above–if not all of them.

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