10 thoughts on “Capital One Prices Giant New Preferred Issue”

  1. 5 bps more than the recent Wells Fargo IPO? Um, no. Hard pass.

    My question is if COF is issuing at 4.8%, what could WFC issue at now? 4.6%? That gets WFC-P close to the call/refi zone.

    Anyone know what the lowest yielding preferred to get called has been (other than a mandatory redeemable like KYN-F)? I think maybe one from KIM?

  2. I have a problem lending money at 4.8 to a company who goes and lends it out at 15 to mindless consumers making their minimum payment.

    If they’re gonna Shylock people with my money I want a bigger piece of the pie, 4.8 is far too low.

      1. @billlo, it’s at 24.75-24/80 now for a better flip…
        I picked up some more @24.75. Going to take my husband out to a nice dinner next month!

  3. I’m not buying. This stinking thing doesn’t even have an Egan Jones rating! I know that means Grid isn’t touching it either. What trash! 🙂

    1. It’s not trash but it is questionablely too low. COF-I hit 25.30 on the news this AM probably a better deal

    2. To Affinity4Investing and everyone; My take on this whole thing as to whats now happening is this: As long as everybody and their brothers 2nd and 3rd cousin race to buy these pieces of garbage companies will get fat and sassy and just keep issuing more. Until you get to a point and wake up one day and look at your fixed income portfolio and say “What the Hell happened here”???? My fixed income portfolio use to throw off $$$$ monthly and now its down to $$. DAMN!!!!!!!!!!!!!! STOP BUYING THIS GARBAGE AND THEY EVENTUALLY WILL HAVE ISSUE HIGHER COUPONS. Iam referring to all of these companies not just Capital One. Last week HOME DEPOT issued a “50 YEAR BOND” with a coupon of 3.2%—Ridiculous!!!!! But yet people gobbled it up like there was no tomorrow!!!!!!

      1. For those of us who have been here for years (since the beginning or close to it), we understand that what I wrote was an inside sort of joke that we make about Egan Jones and their goofy ratings. For those who didn’t understand that, calm down already. Your capital letters are scary and I feel triggered. Goodness… (NOTE: That was another attempt to make a joke)

      2. Chuck P- I don’t know anybody in real life who buys preferred issues. Everybody else is all ETFs or OEFs. Preferreds don’t get much main media coverage.

        So it hasn’t really gotten to
        “brothers 2nd and 3rd cousin…”

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