The series C, 6% short duration term preferred (OPP-C) from closed end funds RiverNorth/Doubleline Strategic Opportunity Fund (OPP) is now trading somewhat ‘normally’–right around the liquidation value of $10. This ‘rights offering’ series sold with strange pricing for a few days before now settling in. This has just 410,000 shares outstanding and it looks like the $10 liquidation value threw folks off for a few days.
The issue has a mandatory redemption on 12/1/2027 so maybe it is a decent spot to hide out in as a cash alternative of sorts.
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About the strange price on the chart link provided by TradingView it shows price around $2.40 and volume dating back to Sept 25th. ThinkorSwim shows price only as of the IPO. Any ideas if this was an arbitrage opportunity or just an issue with TradingView’s data?
Tim,
The “New Issues” page must think this is a $25 issue still as it has the yield at nearly 15%.
Thanks Mark–God forbid I would have caught that.
Tim-
Do you know how recent the Moody’s A1 rating is? I see the common stock has had a rough time.
rocks–they have not addressed this new issue yet–the other issues are as below.
Dec 2023 A1 Affirmation
15 Nov 2021 A1 Affirmation
13 Oct 2020 A1 New
mandatory redemption on 12/1/2024
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is this correct?
12/1/27
No David–just another typo by and old fart. Thanks–2027
Thanks Tim; I have been adding some of this issue to two different accounts in the $10.08 to $10.10 area. To me, I look at this as a 3 year CD at 6%. Easy peasy.
Gary–considering the same. The yield is a little lite for me, but if I am going to be stuck with some CDs and MMs for a year (or however long) might be worth an allocation.