Below readers can post in the comments section items they believe are important to seen right away by all other readers.
For instance if we are not at our computer and a reader spots a new issue being issued they can post it below where others can come for ‘breaking news’ from other readers.
We want to keep this page ‘fresh’ so we will slick it off every 50 days so the items below remain only newer items.
We only ask that comments beyond the breaking news be kept to other pages or this page will be ‘out of control’ and not fulfilling what I hope is a handy alert page.
TO START A NEW THREAD GO TO THE BOTTOM OF THE PAGE
Users who liked this:
For those willing… A new issue FHLB bond…cusip# 3130B4QS3…paying 5.620% semi-annual…due 2/7/2045…1st call 2/7/2028.
Developing special sit going on now with PDX, the PIMCO CEF which will eventually convert into a normal PIMCO FI CEF, which trade at premiums.
It smells like a way to get in below/ near NAV, depending on the price action of the todays IPO (VG ). Read this article and the comments.
https://seekingalpha.com/article/4749613-pdx-neither-the-nav-nor-the-market-has-fully-priced-in-the-venture-global-ipo
Maine – Timely post. Apparently the S-1 just hit and major revision to initial target price. PDX trading down 12% right now. Great potential entry point setting up here.
Worth nothing though only a couple weeks ago PDX was trading $25 handle and then got massive pop on news of Venture’s 20% stake buy-in. So in reality, still a couple bucks here above previous floor.
California wildfire news:
Reinsurers’ 10-15% share of LA wildfire industry loss not enough to alter pricing trajectory: Evercore
Average insured claim estimated at $1.9m with 17,027 structures destroyed or damaged based on Corelogic’s 35-45 Billion and Moodys est of 20-30 bill
Comment: 1)I would not rely on any number yet, and Corelogic could never given a decent estimate of the value of my house. They were always wildly off by 50% or more to the high side. My thought is if they can’t get that right given the number of comps, they are just throwing spaghetti against the wall.
2) Buffet has always said Berkshire is such a big reinsurer you can assume they have 3-5% of any reinsurance loss
why was BA-A with a sell imbalance on Friday? was there any news?
Just a guess it had something to do with PFF creation/redemption baskets.
Whatever it was , it was a terrible sale
I believe it was not PFF related, the amount in the index is the same
FTAI -29%…gonna review the books.
https://ir.ftaiaviation.com/static-files/134a277a-7243-4f9e-a563-3e0306457191
where there is smoke…
FTAIM/SJNK pair poised to closed at yearly low (underperform).. I did think that the calling of FTAIO was designed to show strength of balance sheet
FGSN trading now @ FIDO
sorry if dupe
Tempting but when I read the prospectus I see that pesky 5 year deferral of interest clause. That kills it for me.
Standard clause. Rarely done by reputable companies unless it’s an alternative to bankruptcy. Happens in some sleazy acquisitions.
Deferral clause is a lot better than non-cumulative which would be the case if FGSN was a preferred.
That’s true but at 69 years old a five year deferral of interest is not ideal. The issuer is only rated A3 by Moody’s. That’s just so-so for a life insurance company. Prior to July 2023 they were rated BAA1. Going in the right direction but still.
FTAIO full redemption on 2/16/2025.
https://finance.yahoo.com/news/ftai-aviation-announces-full-redemption-211500527.html
FTAI Aviation Announces Full Redemption of Outstanding 8.00% Fixed-to-Floating Rate Series B Cumulative Perpetual Redeemable Preferred Shares
NEW YORK, Jan. 17, 2025 (GLOBE NEWSWIRE) — FTAI Aviation Ltd. (NASDAQ: FTAI; “FTAI Aviation” or the “Company”) announced today that it will redeem all of the Company’s outstanding 4,940,000 8.00% Fixed-to-Floating Rate Series B Cumulative Perpetual Redeemable Preferred Shares (the “Series B Shares”) at a redemption price equal to $25.00 per Series B Share in cash, plus $2,405,404.25 of accumulated and unpaid distributions thereon to, but not including, the redemption date of February 16, 2025 (the “Redemption”). The Series B Shares trade under the ticker symbol “FTAIO.”
A Notice of Full Redemption for the Series B Shares describing the Redemption procedures was sent to holders of the Series B Shares on January 17, 2025. Additional information related to the Redemption procedures, including copies of the Notice of Full Redemption, may be obtained from Equiniti Trust Company, LLC by calling 718-921-8317.
This press release does not constitute an offer to sell or the solicitation of an offer to buy the securities described herein, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.
@ 25.37 -still about 11¢ below par + the div. ( unless I missed something)
CCLDO resumed dividend payments today
where can I see the news?
https://www.globenewswire.com/news-release/2025/01/21/3012499/16541/en/CareCloud-Announces-Early-Resumption-of-Preferred-Stock-Dividend-Payments.html
Would someone help me decode the CareCloud press release, please?
There is this hypothetical: “For purposes of illustration only, if the Company exercised its redemption right today, holders of Series A Preferred Stock would be entitled to approximately $28.17 per share representing the redemption value of $25 and the accumulated dividends of $3.17.” But in reality they are not called for redemption (yet), so what shall be the first div payment?
A) – accumulated dividends of $3.17 + $0.18229 ( 1/12th of 8.75%) + $0.04688 (catchup payment to cover the difference to 11%?
or
B) – $0.18229 ( 1/12th of 8.75%) + $0.04688 (catchup payment to cover the difference to 11%?
And if B) is the case what is happening to the “accumulated dividends of $3.17”?
J,
In that press release, after they did their hypothetical “redemption” illustration, they declared the amounts for the first two months and they explained what those dividends are. It looks like your nailed it with your case “B”. As for the $3.17 accumulated dividend, it appears they haven’t announced WHEN they’ll pay that. I’ve seen this before. I think when NGL resumed divs on their preferreds, they paid the accumulated div in two installments.
Dividends Declared for January and February 2025
The Board has declared dividends for January and February 2025. For Series A Preferred Stock, the dividends are calculated at an effective monthly rate of 1/12th of 11%, which includes catch-up payments to account for the months when Series A dividends accumulated at 11% per annum, prior to our Series A Preferred Stock shareholders’ decision in September 2024 to reduce the dividend rate to 8.75% per annum. After paying the dividends for January and February, the Board intends to continue paying monthly dividends at the higher effective rate of 11% per annum (inclusive of catch-up payments) for approximately 8 additional months before reducing the monthly dividend to 1/12 of 8.75% per annum. For Series B Preferred Stock, the dividends are based on an effective monthly rate of 1/12th of 8.75% per annum.
Declared dividends per share for the months of January and February 2025 are set at $0.18229 for each month payable on February 18, 2025 and March 17, 2025, respectively. A Series A Preferred Stock catchup payment of $0.04688 per share is also included during each of these months, payable on February 18, 2025 and March 17, 2025, respectively. Similarly, declared dividends for Series B Preferred Stock are set at $0.18229 for January and February 2025, payable on February 18, 2025 and March 17, 2025, respectively. For January, the ex-dividend date is January 30, the record date is January 31, and the payment date is February 18, 2025. For February, the ex-dividend date is February 27, the record date is February 28, and the payment date is March 17, 2025.
Additional Details regarding the Preferred Stock
Holders of shares of the Series A Preferred Stock for the month of January 2025 are entitled to receive cumulative cash dividends at the rate of 8.75% per annum of the $25 per share liquidation preference (equivalent to $2.1875 per annum per share). Because (1) any dividend payments made on either the Series A Preferred Stock or Series B Preferred Stock must first be credited against the earliest accumulated but unpaid dividend due with respect to such preferred stock and (2) for such period, the cash dividend rate for the Series A Preferred Stock was 11% per annum, rather than the current rate of 8.75% per annum, the Board authorized an additional payment equal to 2.25% per share of Series A Preferred Stock. Holders of shares of the Series B Preferred Stock are entitled to receive cumulative cash dividends at the rate of 8.75% per annum of the $25 per share liquidation preference (equivalent to $2.1875 per annum per share).
Thank you, mbg.
CCLDP up over 4% today and CCLDP over 8%. It was previously known that the dividend payments where starting today. Evidently not everyone knew. I should have realized it would jump today and bought more last week. Lesson learned.
They were targeting March weren’t they originally? Although I thought it would jump a little more on the announcement. But I’m lost at their press release unless I’m backwards. If they redeemed today, why would ccldo which I have as “b” be worth more than ccldp which is “a” when “a” has a few months higher back div?
CCLDO and P prices may be related to possible redemption prices.
Quote from press release:
For purposes of illustration only, if the Company exercised its redemption right today, holders of Series A Preferred Stock would be entitled to approximately $28.17 per share representing the redemption value of $25 and the accumulated dividends of $3.17. Also, for purposes of illustration only, if the Company exercised its redemption right today, holders of Series B Preferred Stock would be entitled to approximately $28.43 per share representing the current redemption price of $25.75 (comprised of the $25 stated value and a $.75 fee for early redemption) and the accumulated dividends of $2.68.
LOS ANGELES, Jan. 21, 2025 /PRNewswire/ — B. Riley Financial, Inc. (NASDAQ: RILY) (“B. Riley” or the “Company”), a diversified financial services company, today announced the redemption on February 28, 2025 (the “Redemption Date”) of all the issued and outstanding 6.375% Senior Notes due February 28, 2025 (NASDAQ: RILYM) (the “Notes”).
The redemption price for the Notes will be equal to 100% of the aggregate principal amount of the Notes, plus any accrued and unpaid interest as set forth in each notice of redemption delivered to note holders (the “Redemption Payment”). Interest on the Notes will cease to accrue on and after the Redemption Date. The Notes, which are listed on NASDAQ under the ticker symbol “RILYM,” will be delisted and cease trading on the Redemption Date. Notice to holders of the Notes will be issued on or before January 24, 2025. Investors in the Notes should contact the bank or broker through which they hold a beneficial interest in the Notes for information about the Redemption Payment
Preferred Stock
B. Riley also announced that the Company has temporarily suspended cash dividends on its 6.875% Series A Cumulative Perpetual Preferred Stock (NASDAQ: RILYP) and its 7.375% Series B Cumulative Perpetual Preferred Stock (NASDAQ: RILYL). Unpaid dividends on the Series A and Series B Preferred Stock will accrue until paid in full.
https://ir.brileyfin.com/2025-01-21-B-Riley-Financial-Announces-Full-Redemption-of-February-2025-Senior-Notes
Hah! Headline reads we’re redeeming our bond on its redemption date and oh, by the way as an aside we’re suspending payment of dividends on our preferreds… No big deal, shareholders… all’s good…. nice try …
They are cumulative, reeks of desperation……
A case study for income investors on the difference between preferred shares and notes.
Citadel West…. Yes it is. I have tended to buy notes in the last year or so as I have grown fond of the mandatory redemption feature. They also don’t seem to be delisted or move to the expert market that much.
I was surprised I was able to pick up more RILYM on 1/14 for 24.55 from someone who got nervous. A quick 1.8% cap gain plus dividend.
10 Year Futures Yield down..075 to 4.53 at 10:25 pm !!?? Is this a one off whale buy or genuine broad buying on inflation optimism????? Fingers crossed!!!!
I also noticed that drop. I have to wonder if it will stick. If the yield continues to go down I have a feeling many people are not expecting that at all.
There is some inflation optimism as no tariffs have been announced yet. But the relief rally may be short lived as tariffs may be announced on 2/1.
BA prfd A fell $2 on the closing print, having a 122,000 share sell imbalance. I just missed buying it , had a bid at 57.05
stock closed at 57.21, I believe. It was instantly 10,000 bid 50 c higher
Now it makes sense. This is PFF largest holding at ~3.5 %. Always good to own PFF if they sell a holding (BA prfd) for $2 of slippage. (yes, that’s condescension)
I need to memorize a list of the holdings . They are bound to have a bunch of buy and sell imbalances moving stuff around. I wonder how much slippage from just this and ABLLL., PREJF, etc
New Issue 6.0% JPM Bond ~ 5 Year Call Protection
* 48130CXQ3, 6%, A1/A-, Senior, Annual, Par
* YTC 6% 1/31/30
* YTM 6% 1/31/45
Is this trading?
I’ll assume JPM is the bookrunner
Bought some at Schwab today at par with no fee as it is a new issue….Pricing date is 1/29/25 & Original issue date will be 1/31/25.
OK , I see that’s one of the retail notes.
Schwab is a little tricky ; on a stock like IMBBY (otcbb) the readback screen
on the buy order shows no commission ; but the Warning Notes tell you there
is a commission ; the standard $7.95
i follow it and BTI for tobacco stocks
Newbie; there is no fees on most stocks at schwab ;
except for foreign stocks ( not ADRs)and OTCBB ;
i do 90% of my trades on Edge
ted
Not much going on today?
BAC has a new issue paying 5.7% with ten years of call protection or a 6% with one year of call protection. The 6% JPM issue with five years of call protection seemed interesting until I saw that it pays annually. I have a hard time wrapping my around getting paid once a year. The BAC 5.6% with two years of call protection that pays monthly seems more interesting. What am I missing?
Not available on FIDO
My thought for today:
GEO and Core Civic are breaking to the upside ahead of the inauguration.
I’m guessing these are “buy the rumor, sell the news” candidates because they have rallied like crazy and if we don’t detain anywhere close to “millions of illegals” these have a pretty weak credit profile .
I have no present position but will likely short these soon.
Biden was not a fan of private prisons and that kept the price down on their stocks. Now that has changed. I made a very nice profit on the GEO bonds but they matured and I haven’t been following GEO or Core Civic. I’ll take a closer look but with a 26% gain in GEO over the past month I may be too late to buy.
There are a couple of GEO bonds available –
The GEO Group, Inc. 8.625% 04/15/2029 Callable 36162JAG1, current yield to worse, ~6.5% – Rated B1 by Moody’s
The GEO Group, Inc. 10.25% 04/15/2031 Callable36162JAH9, current yield to worse, ~7.3% – Rate B3 by Moody’s
Have positions in both issues, but like the stock they have been run-up pretty good. DYODD…
Back when things weren’t looking good for GEO their bonds where sell for a significant discount. I had a 21% capital gain on one of them when I sold. No discounts happening now.
The new SO issue with a 6.5% coupon is trading this morning at Schwab. The ticker symbol is SOJF
Jan. 16, 2025 (GLOBE NEWSWIRE) — Scorpio Tankers Inc. (STNG) (“Scorpio Tankers” or the “Company”) announces today that it has successfully placed USD 200 million of new senior unsecured bonds in the Nordic bond market. An application will be made for the bonds to be listed on the Oslo Stock Exchange. The new bonds are due to mature in January 2030 and will pay a fixed coupon of 7.5% per annum, payable semi-annually in arrears.
The net proceeds from the bond issue shall be used to refinance the Company’s existing USD 70.6m senior unsecured notes and for general corporate purposes.
Thanks Fabrib. I am a relatively long term holder of their BB due to mature June of this year. Would not mind picking up a replacement however; buying debt on a foreign exchange is beyond my ability. Would be nice if they offered a new series of BB with a 5 year maturity.
Do these trade in US Dollars? How do you account for currency risks? TIA
On one of their conf calls in 2024 they talked about the intent to pay some things off early and then they go and refinance this issue. Hmm.
i could not get that on schwab Edge just now ?
I can’t find that symbol on Schwab
Arnold, are you talking about the Scorpio tankers BB ? the existing one or the new one? or are you asking about something else?
Does SOJF preferred issue a qualified dividend? thanks
Hello Steve, thanks for the update on SOJF, are the dividends qualified?
Raggs,
SOJF is a bond, so it pays out interest, not dividends. Interest is NOT qualified.
I thought that also until I read the description as “The Southern Company 3/15/2085 PFD Callable” I am replying to msg concerning SOJF.
Raggs,
I don’t know where you saw that description – from a broker, perhaps?
Here is the name of SOJF in the official pricing term sheet:
Series 2025A 6.50% Junior Subordinated Notes due March 15, 2085
https://www.sec.gov/Archives/edgar/data/92122/000009212225000004/so2025ajsnfwpfixedrate.htm
I purchased shares and get description from that listing .
The descriptions of many baby bonds on ToS say PFD
An industry vendor feed. Some systems key off the PFD keyword to flag it as trading in share quantities and not in 1000.00 increments.
this is the other side of the same coin where back office platforms has struggles with preferred stock that trade like bonds and give all kinds of weird valuations and payment issues.
SOJF is trading now on Schwab ; per usual they are usually tardy in posting new listings
if you like SO issues ( genuine investment grade) this CY is pretty good compared with 3 in the series still outstanding ; at about 5.80 CY
i figure 6.38%
New Bank of America Bond…10Yr call protection, Semi-annual payments
* 06055JJD2, 5.7%, A1/A-, Senior, $100,
* YTC 5.7% on 1/23/35
* YTM 5.7% on 1/23/45
Those are $1,000 bonds not $100. I have an order in for 20. The 10 year period before first call sold me. I’m still contemplating another Bank of America bond offering listed on the Fido new issue page. 5.6% 2037 with 2 years of call protection and pays monthly.
Yes…100 means bond trading at par = $1000…that’s how Schwab prices…shouldn’t have added the $ sign
FTAI down ~28%
FTAIN down 3%
FTAIM down 5%
All on very heavy volume.
I see no news on yahoo, on the company site, and no SEC filings.
Found the cause. A report by a short seller:
https://muddywatersresearch.com/research/2025/mw-short-01152025/
Wow – day range 91.xx-159.xx now off over 1/3 – almost reached 180.
O off about the same as N.
Bargain territory.
Muddy Waters’ beef seems to be what category they shuffle earnings into.
No argument on the amount tho?
no offense but your summary of the short report hardly captures the complexity of their thesis
The short report is very complex but doesn’t really say anything. What’s the bottom line? What’s their estimate of true earnings? What multiple does the company deserve on those earnings and what’s their price target?
The bigger issue is that they engaged in channel stuffing to make earnings and then backed it out over time so it would not kill a subsequent release.
NVDA did that in a huge way when their GPU sales were tanking because of a change in bitcoin mining, yet they seemed to have emerged unscathed from it.
The channel stuffing seems to be a relatively minor part of the thesis. It’s also something as you point out that other companies do. It doesn’t really change overall profits, just smooths it out over time.
We may have an opportunity to buy FTAI preferreds lower . Short report https://muddywatersresearch.com/research/2025/mw-short-01152025/
FTAIN last 24.90
im getting a low today 25.26 on Schwab ?
where is your quote coming from ;i love all the Series – in tax deferred accounts only ;
ted-
Check the date and time of my post.
sorry rocks ; i just did
NYMTG now tradeable on Fido.
Note – the 1st interest payment is less than a full payment.
Accrual period 1/14/25 through 3/31/25. Only 2.5 months.
Interest Payment Dates: Each January 1, April 1, July 1 and October 1, commencing on April 1, 2025. If an interest payment date falls on a non-business day, the applicable interest payment will be made on the next business day and no additional interest will accrue as a result of such delayed payment
Interest Periods: The initial interest period will be the period from and including January 14, 2025, to, but excluding, the initial interest payment date, and the subsequent interest periods will be the periods from and including an interest payment date to, but excluding, the next interest payment date or the stated maturity date, as the case may be
RWTP incoming
https://www.sec.gov/Archives/edgar/data/930236/000110465925003632/tm253198d1_424b5.htm
Issuer:
Redwood Trust, Inc. [“RWT”]
Expected Security Ratings*:
Egan-Jones = BBB-
Description:
$25 Par 5NC2 Senior Unsecured Notes
Settlement**:
January 17, 2025 (T+2)
Maturity:
March 1, 2030
Announced Size:
$50 million (2 million $25 par notes)
IPT:
9.125% area
Coupon Structure:
Fixed-for-Life
Payment Dates:
March 1, June 1, September 1 and December 1 of each year, beginning on June 1, 2025
Optional Redemption:
In whole or in part, at any time and from time to time, on or after March 1, 2027, at par
Change of Control:
101%
DRD / QDI Eligible:
No
Use of Proceeds:
For general corporate purposes, which may include (i) funding of its business and investment activity, which may include funding its residential and business purpose lending mortgage banking businesses, acquiring mortgage-backed securities for its investment portfolio, funding other long-term portfolio investments, and funding strategic acquisitions and investments and/or (ii) the repayment of existing indebtedness, which may include the repurchase or repayment of a portion of the 2025 Notes issued by one of its subsidiaries or its 2027 Notes
Joint Bookrunners:
MS (Physical) / GS / RBC / WFS / KBW / PIPER
Co-Manager:
Citizens
Denominations:
$25 and multiples thereof
Expected Listing:
NYSE
CUSIP:
758075865
Thanks EB
not to disparage this issue but
any BBB rating from EGAN JONES ; they would give Bernie Madoff a BBB
if he were alive today ; and of course paid a small fee for doing so; imho
Thanks J–just saw it.
The preliminary prospectus is from 2022?
I was able to purchase the new SO issue at a 6.5% coupon via the Schwab bond desk.
https://www.finra.org/finra-data/fixed-income/trade-history?cusip=842587867&bondType=CA
Did you get it @ par?
I also got a fill order yesterday on the new SO 6.5% bond/preferred issue. I got 4,000 shares at $25.07 & no commission in my Schwab account.
I know it was listed before but do you have the CUSIP please?
it is part of the FINRA link posted above.
cusip=842587867
Thank you!
Tried to buy the SO 6.5% pref at Schwab. Finra showed pricing varied from $24.70 to $25.80 on the grey market. Schwab best price was $25.35. Called JPMorgan, who is listed as an underwriter–what a waste of time.
I decided to wait until it is available online.
Better than Schwab price quoted to me – $25.40. I did not buy.
My thanks to Mr. C for answering my question. I was lucky to get his answer (though he was Lucky)
Best regards.
Who said “10ve Ain’t for Keeping?”
wow ; but only by making your extraordinary effort to go thru the bond desk
but i’de say well worth the effort; WTG
Was the Southern Company 6.5% qualified or BB ? TIA
it should be interest income, and therefore becomes added to ordinary income at tax time.
New Bond Issue…6% Citigroup with 3 year call protection
* 17290A7F1, 6%, A3/BBB+, Senior, Semi-annual payments
* YTC 6% on 1/27/28
* YTM 6% on 1/27/45
I’ll go with the 2045 US Treasury at 5.11 , not callable until 2040, and not subject to state income tax.
If you adjusted for the call you are selling with the Citi bond, I wonder what the spread over the treasury would be?
Not much, if anything. I don’t have a BBG machine.
poor UST, it gets little attention
Callable?
You sure?
I am not sure ANY callable Treasuries exist right now.
justin, thanks for keeping me honest as everyone here does.
When I took the Series 7, admittedly some time ago, all 30 year bonds were callable in 25. I’m lost in the past as that was 20+ years ago
ARGD (6.5% senior BB) 21.50 CY 7.56%. Nice, but probably will drop more.
LOS ANGELES (AP) — B. Riley Financial Inc. (RILY) on Monday reported a loss of $433.6 million in its second quarter.
The Los Angeles-based company said it had a loss of $14.35 per share.
The financial services firm posted revenue of $148.4 million in the period.
https://seekingalpha.com/pr/19968575-b-riley-financial-files-10-q-for-quarter-ended-june-30-2024
RILYM will be paid and it looks like share buybacks of the other baby bonds are coming. Brendon Riley excerpt-
“As we look to the future, we believe B. Riley is positioned for stronger performance in 2025 thanks to the actions we have taken over the past several months to monetize non-core assets and deleverage our balance sheet. We will retire our February 2025 Senior Notes as scheduled and look for opportunities to enhance value for the company from the dislocation in our other outstanding maturities.”
Some Riley short sellers are real lowlifes who have been reveling in the Pacific Palisades fires saying it is “Karma” for Brendon Riley. They have been posting his personal address and sharing photos of the fire damage. Aside from any investment considerations, I am rooting for the company to survive long term,
I’ve been in/out of RILYM, got in last dip and been holding my nose with the 2/28 maturity. Company still bleeding, I must avoid the temptation of those longer term notes at the bottom feeder prices.
RILYM for the win!
RILYM up over 5% this morning. Matures 2/28/25. Good news for holders.
RILYM was trading above $25 in pre-market, but then Bear Cave published a negative report around 9:30 which has caused some people to sell, in many cases taking profits. At the current price of $24.83, the IRR is still over 20%.
Yes, you could hold on at this point to RILYM and wait for maturity, but we are talking about 2%. I agree that B Riley should survive the next several months, but not worth it to me. There are much safer ways to earn 2% in the next several weeks, such as many of the mortgage REIT preferreds, which don’t have nearly the reputation/bankruptcy risk going forward.
I know some mortgage reits pfd. with 10% irr, but don’t know any safe ones that are over 20% irr. Can you share some ideas? Thanks!
Without making claim about the exact returns, you might look at RITM-C, MFA-C, and AGNCP. All of these are fixed-to-float mREIT preferreds that are coming up to their first call and float date. They may not be called immediately, but they’ll probably all reach par (or very close) once they float. If you buy in at just the right time there might be potential for short term 20% returns in each of them, although the total gain will be small because of the short duration.
Thanks! I already own a little AGNCN but will check out the others you mentioned.
I loaded up late last year in SACC which also had a 20+% IRR about 6 weeks before it matured. There were many nervous investors who were dumping it at the time because of weakness in the SACH common even though the company had more than enough liquidity to easily pay off SACC.
They released thier Q10 yesterday and stated they had the cash to payoff M and intended to do so on time.
New Jeffries note at Schwab
47233WHS1 6.4% 2040, one year
Agencies at Schwab with call protection. Coupons are up again.
3130B4LP4 6.4% 3 months
3130B4M32 6.0% 1 year
Neither one is call protected
3130B4LP4
Callable in whole or part Quarterly beginning 04/21/2025 with 5 days notice.
3130B4M32
Callable in whole or part Quarterly beginning 01/13/2026 with 5 days notice.
Added to my small SCE-M position at 23, my low target. I won’t add anymore if it goes lower.
me too .. also bot a lottery ticket
Yep. I’ll be fine with SCE-M as long as the div is paid.
I shorted SCE-M at 23.63 avg after covering short position in SCE-N for +98 cts. I’ve been short various combinations of J, K, M, and N for two days. Rock and roll!
I placed a GTC order for SCE-M at 20.75. Another 100. That would be a 9% yield. I still do not own a ton of this so I am OK with taking some risk.
NEWTH ex-div tomorrow Jan 14 for 71 cents (first time only). DYODD
EIX has a history of lows around 45. It’s 58 as I type.
S&P Global Ratings (S&P) downgraded the Los Angeles Department of Water and Power’s (LADWP’s) power- and water-system revenue bonds by two notches to A and AA-, respectively, and placed the ratings on CreditWatch with negative implications. The S&P downgrades reflect the increasing frequency and severity of highly destructive wildfires within LADWP’s service territory. We anticipate ongoing price volatility and increased downgrade risks in the near term. However, we believe LADWP is poised to withstand related credit pressures due to its large economic base, potential governmental support, and available liquidity.
When it comes to owning a utility’s common stock I prefer NEE myself. Bought another slug of NEE-T in the retirement account on Monday. Like a 8.3% yield when I bought until they convert to common. The common shares of some UTEs in CA seems pretty risky when a utility is supposed to be somewhat boring. The preferred is more then enough drama.
Prelim PAA senior notes
https://www.schwab.wallst.com/cgi-bin/upload.dll/file.pdf?z0f8f7c0az00b91e3f1c7842d5b99111da7aa38dbf
Schwab said just below 6% or thereabouts for the PAA note
Rocks I own 72650RAM4 currently 104.137 6.7% due 2036
Charles-
Good reference point. Looks like PAA notes are in demand.
https://newsroom.edison.com/releases/edison-international-provides-latest-update-on-southern-california-wildfires-and-sce-power-outages
Now the way I am understanding this is that the Hurst fire is where there might be evidence of electrical gear causing the fire. But… Hurst is also where they contained the fire very well and I cannot find reports of houses and buildings being burned down in “large quantities”. I am sure something was destroyed but compared to the other fire locations the fire dept did a great job handling it probably due to the size and reaction time. I am speculating. By looking at the map you can most likely say a lot was not damaged.
Zoom in using this link and the FD and other resources appears to have done a great job. What was burnt was mountains mostly.
https://www.fire.ca.gov/incidents/2025/1/7/hurst-fire
Now the Eaton fire there is no evidence of anything. It is a horrible fire but we are talking like 1200 structures destroyed compared to Palisades which is horrendous. 10 times as much destroyed??
EIX is not out of hot water yet but Monday should be interesting for them. I realize this post seems a bit callous. Talking about investing as people are losing their homes and in some cases their lives. Not sure what to think of my post. I am kind of disconnecting from the reality of it…
I think I have some of my numbers wrong when it comes to Eaton and Palisades and structures damaged/destroyed. I tried to edit my post but it was too late. I will just provide direct links.
https://www.fire.ca.gov/incidents/2025/1/7/eaton-fire/updates/7be373cc-2bb3-41de-b46b-1d2b72d9cc63
https://www.fire.ca.gov/incidents/2025/1/7/palisades-fire/updates/411721a4-f1d0-48ed-975a-229898c77ae9
fc-
Thank you for your research.
My GTC order of 23.25 hit this morning on SCE-M. Only a 100 shares.
This is an investment site. You should not feel bad for providing important investing information. Kudos for sharing your research.
Opening positions in SCEprN & M here with intention to add on if/when further weakness fwiw.
jerrymac
For better or worse, all-in
ALL-B $25.31
SCE-L $17.23
SEC-G $17.84
Westie, thanks for the reminder on ALL-B. I had forgotten about it when it traded way past par. Just took a starter.
Honestly not really sure what to do about SCE.. I initially took a position then sold for a small loss. I agree that it doesn’t “appear” that fire started w SCE equipment but it’s a mess right now, and people are looking for blood. I was in some of the EIX debt and prefs as well, then sold once I realized EIX debt and prefs are junior to SCE, including prefs… oooops!
Westie keep bailing, we are all in this leaky tub together. After that transformer blew up a couple years ago down by Oxnard or Santa Barbara SCE became very aggressive in clearing trees and brush and monitoring equip. way before PG & E.
Bad night, power went out here. All this is bringing back memories of our evacuations, packing things up and watching smoke and flames coming over the hills and nights spent in a motel. I really feel for what they are going through down there.
New Issue:
Southern Co. Series 2025A 6.50% Junior Subordinated Notes due 03/15/2085
If you can get those @ par, jump on that as the current 2080s are selling just above $20 handle with a 6.01% yield. There is also a 2077 series with a 5.25% coupon trading $21s @ 6.01% yield. And one other issue as well.
My guess is these 2085s trade above par.
I tried to buy some on friday and Schwab still tried to tell me it was not trading yet and they could not find a ticker symbol. I have the cusip # but when I put it into my Schwab account it doesn’t come up. I have a guy at Schwab working on it for me. Even though its a 6.5% its still going to have alot of “volatility” due to the extreme maturity date.