Last week we made 2 purchases in our personal portfolio. We made no sales as we have plenty of available cash in money markets.
We added a few shares of the hated Spark Energy 8.75% fixed-to-floating rate preferred (SPKEP) to a position we have had for quite some time. We simply couldn’t resist the pricing and the current yield. We paid $21.95 and of course it continues to fall ending the week at $21.25 and a current yield of 9.99%.
In addition we purchased a starter position in the American Homes 4 Rent 6.50% perpetual preferred (AMH-D) for a price of $22.65 and it closed the week at $22.53. The current yield is 7.21%.
It is likely that we will lay low this week as the continued fall in perpetual type issues–and even many term preferreds and short maturity baby bonds has been plenty painful.
As we have previously noted we are moving slowly into some perpetual preferreds to raise our income from the lower coupon term preferreds and short dated baby bonds, but we may be a bit early in our timing and some pain may be incurred.