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Sandbox Page

I will be adding a new link titled “Sandbox” in the right hand menu.

That link will get you to this page.

I had originally set up the “Reader Initiated Alert” page for ‘alerts’. I was thinking this, for instance, might be when a preferred stock is undergoing a temporary selloff and someone wants to let the population know about it quickly. Of course we all (including me) use the ‘alert’ page for general messaging.

I am requesting that we start using the Sandbox page for all general talk, and try to preserve the ‘alerts’ page for ‘alerts’.

I have had a screen up on one of my monitors all week where I see all comments – no matter where they are posted–it is a great page and I wish everyone had a page like that–believe me we all benefit from all the knowledge being shared. I don’t want to stifle any of the exchange of knowledge, but hope to get things a bit better organized by adding the Sandbox page.

2,568 thoughts on “Sandbox Page”

  1. I saw an article about TOS folks being unhappy with ‘a mess’ in their transition to Schwab ( and musing that people might move accts). I’ve used both this week with no problems until this morning. I tried to update the symbol – MTDJL to the permanent MTB/PRJ.
    It would not take it in TOS, plus the old symbol is not quoting at all.
    The Schwab platform is ok, no more $6.95 for the OTC trading. Hope there aren’t many of those!

    1. more: Oh boy- turns out TOS uses MTBpJ –unlike Schwab’s MTB/PRL.
      Ugghhh… thats gonna suck if they have two different symbols.
      Somehow, TOS managed to import my portfolios in their format.

      1. Hey Gary,
        unfortunately, schwab uses at least four formats on different parts of their systems.
        MTBpJ in Streetsmart edge
        MTBpJ in TOS (as you say – I haven’t touched TOS yet)
        MTB/prJ on most of schwab.com
        MTB+J on some parts of schwab.com

        What is really stupid is that they don’t “translate” well between their own systems.
        For example: In SSE, one of the choices for an issue is “research on Schwab.com”, but it sends the request in the MTBpJ format when the research part of schwab uses the /pr format. As a result, the schwab.com page opens with an unknown ticker message – and the link to search for the ticker is broken. I tried to get them to fix it for more than five years before I gave up (insane – a translation table is so simple a high school programmer could do it).

        special bonus – if you want to research an issue, use this link to the old research page. It actually has data that is useful (unlike the new “re-imagined” page), like dividends, ex-date, etc. Also, if you put in a parent ticker, there is a “preferred” tab that will show all the preferred for that company, incl. specific data.

        https://client.schwab.com/secure/cc/research/stocks/stocks.html?path=/Research/Client/Stocks/Overview/

  2. Has anyone seen the partial call of TRINL hit their accounts yet ? I think today is the day it is supposed to happen. This leaves what? 3 more payments before it is called in Feb 2025. Good place to park money for 9 months earning 7%

    1. Good idea, although TRINL currently trades at a premium so you’ll get something less than 7% YTM

      1. TRINL is trading at a premium to redemption, but IIRC it pays $0.4375 a quarter and the ex-date is two weeks away. I haven’t mathed it out, but the $25.30 price isn’t too far out of line (I think – someone can check the math).

  3. Any ideas why the price shown for the delisted AIC (now Ellington Financial cusip 041356502) dived from $24.55 to $22.47 in the past week or so? The issue matures 3/15/25 and per review of EFC’s financials I see no cause for concern.
    What a ride on TECTP yesterday. The price rocketed all the way up to $11.68. All my sell orders hit and averaged $10.67. I’m guessing the 10K came out with no mention of a call and buyer’s went nuts for the 12% plus yield or maybe one big buyer with a fat finger hit market instead of limit.

  4. Hello all,
    Before I call the company, I wonder if anyone has heard of any news concerning TECTP. It is callable, but as of 5-15 is floating with a nice rate.
    Thanks to all for a great site.

    1. It wasn’t called, the 8/15 payment will be based on SOFR + 6.72% as I understand it. But I don’t know the date that the SOFR rate will be based on.

      1. Yup, they certainly are…They even tell you what date the SOFR rate will be based on: “The term “three-month LIBOR” means the London interbank offered rate for deposits in U.S. dollars for a three month period, as that rate is displayed on Bloomberg on page BBAM1 (or any successor or replacement page) at approximately 11:00 a.m., London time, on the relevant dividend determination date. In the event that three-month LIBOR is less than zero, three-month LIBOR shall be deemed to be zero.” But has it been determined officially that they’re going to SOFR? I think the prospectus covers that too:

        “Notwithstanding the paragraph immediately above, if we, in our sole discretion, determine that three-month LIBOR has been permanently discontinued or is no longer viewed as an acceptable benchmark for securities like the Series B preferred stock and we have notified the calculation agent of such determination, or a LIBOR event, then the calculation agent will use, as directed by us, as a substitute for three-month LIBOR for each future dividend determination date, the alternative reference rate selected by the central bank, reserve bank, monetary authority or any similar institution (including any committee or working group thereof) that is consistent with market practice regarding a substitute for three-month LIBOR, or the Alternative Rate.”

  5. Anyone have any insights on TPTA… I was looking over my watchlist of preferreds and saw TPTA (6% coupon) down to under 1/2 of it’s redemption value (under $12). Matures in 2026. Yield on TPTA almost 13% with what would be a huge YTM.

    A “sister” security, TFSA w/7% coupon (same company – Terra Property Trust) trading around $23, also matures 2026. Seems strange to have such a wide disconnect in what seems like similar security and maturity.

    1. Guy, I owned at one time but between the Hollywood strike and not holding what I would consider A properties I sold.
      Use the search in the upper right hand corner. Someone else had been following them and actually emailed and got a response from investor relations. Go back and see if you can find the comments

      1. Thanks Charles, I used the search for TPTA and newest results were from 2023. Didn’t see anything specific to anyone contacting investor relations. I’ll keep on my watchlist for now, but not looking like this is place to drop cash as investment.

        1. FL_Guy,
          Go back to READER INITIATED ALERTS around 02/08/24 for the last discussion of TPTA vs TFSA. Use the “older comments” button at the top until you see comments near that date. Several contributors here including NWGG had quite a bit to say. Full disclosure: I’m holding a LOSING position in TPTA and waiting patiently.

          1. Thanks for the path to success. Not sure why the search didn’t show that part of the discussion thread.

    2. The first page of the TPTA prospectus says the following:

      “The notes will be structurally subordinated to all existing and future indebtedness and other obligations of any of our subsidiaries and financing vehicles since they are obligations exclusively of Terra Property Trust, Inc. and not of any of our subsidiaries.”

      Note that TFSA was issued by Terra Income Fund 6, Inc.

      That may explain some of the price difference.

      1. As per financial statements ” In connection with the BDC Merger, Terra LLC assumed all the obligations under the 7.00% Senior Notes”, so from my basic knowledge and understanding these are under the same company in regards to redemption.

        If you look at the financials, the 6% and 7% are both shown as obgligations as notes payable (page 30), with 7% showing 3/31/2026 maturity date. Unless it’s a conincidence this seems to be the TFSA notes.
        https://www.sec.gov/ix?doc=/Archives/edgar/data/0001674356/000167435624000019/tpt-20240331.htm

        1. Those are definitely the same notes, but the financial statement you linked to is a consolidated statement rolling all the subsidiaries in with the parent. If things go sideways, which looks very possible, the subsidiary will pay its own debts before giving any remaining funds to the parent company. Also, the 7% notes (TFSA) are due 3/31/2026, while the 6% notes (TPTA) are due 6/30/2026. So TFSA has a time advantage in addition to a corporate structure advantage.
          I’m not saying that the market is pricing these issues correctly. I’m just trying to help explain why there’s a big difference in the prices, and this is the best I can come up with.
          (Standard disclaimer: don’t take financial advice from retired sailors!)

          1. Sailor – I believe there is no longer a separate subsidiary for payment of TFSA post the merger. Or at least that’s what I seem to recall. While rate and duration are slightly different, I could see a couple of bucks, but TPTA looks way out of whack, especially with a duration to maturity of essentially 2 years. Definately a weird issue and I’ll keep on my watchlist for future movement but will let it simmer for now without an investment.

            1. That’s not how I understand it.

              https://www.sec.gov/Archives/edgar/data/1674356/000110465922056462/tm2214498d1_8k.htm

              “Item 1.01. Entry into a Material Definitive Agreement.

              On May 2, 2022, Terra Property Trust, Inc. (the “Company”), Terra Income Fund 6, Inc. (“Terra BDC”), Terra Merger Sub, LLC, a wholly owned subsidiary of the Company (“Merger Sub”), Terra Income Advisors, LLC and Terra REIT Advisors, LLC entered into an Agreement and Plan of Merger (the “Merger Agreement”) pursuant to which, subject to the terms and conditions therein, Terra BDC will be merged with and into Merger Sub, with Merger Sub surviving as a wholly owned subsidiary of the Company (the “Merger”).”

              Also, you can go to the Terra Property Trust website https://www.terrapropertytrust.com/ and look at filings. You will see separate filings for Terra Property Trust and Terra Income Fund 6.
              https://www.sec.gov/ix?doc=/Archives/edgar/data/0001674356/000167435624000019/tpt-20240331.htm
              https://www.sec.gov/ix?doc=/Archives/edgar/data/0001577134/000157713424000015/tfsa-20240331.htm
              Terra Property Trust, Inc. (for which TPTA is an obligation) showed $230M of Equity and $640M of (Liabilities + Equity = Assets), for a ratio of 36% Equity to Assets, as of 3/31/2024.
              Terra Income Fund 6, LLC, a wholly owned subsidiary of Terra REIT (for which TFSA is an obligation) showed $70M of Equity and $121M of (Liabilities + Equity = Assets), for a ratio of 58% Equity to Assets, as of 3/31/2024.
              As I see it, the subsidiary underlying TFSA is considerably less leveraged than Terra Property Trust. The relative quality of the underlying assets isn’t clear to me, but the corporate structure and the differences in leverage should make some difference in risk, hence price.

        2. TPTA and TFSA are essentially the same post merger. Selling TFSA and swapping it for TPTA is a no-brainer. TPTA is severely undervalued imho.

    3. Fl_Guy,
      Thanks for the reminder.
      Last year, after Terra Property merged with Western Asset Mortgage Capital Corporation, TPTA note was up to $19. Down to %12+ now but up 4% today. Now part of AG Mortgage Investment Trust, Inc. (NYSE: MITT).
      Need to look closer to MITT.

      1. Thanks Dan – TPTA was on a watchlist I created a while back, and I hadn’t followed TPTA and wasn’t aware of the MITT merger. Still scratching my head as I see the note issued by MITT still holding up strong, MITN @ $25.26. And MITT just issued another notes issue in past couple of days. So all appears to be good from that viewpoint. Seems TPTA has something underlying that the markets don’t like vs the other note issues.

        1. As Retired Sailor posted, here is a quote from TPT “On August 8, 2023, WMC terminated the WMC Merger Agreement pursuant to its terms (the “Termination”), and the Company was paid a termination fee of $3.0 million.”
          Now I’m not sure what if any the relationship is between TPT and MITT except that TPT does own a small percentage of MITT shares.

  6. Is anyone following Globe Life closely? GL-D is down today and has around a 7% current yield.

    Here are the YTM on a few of GL’s bonds:

    9/15/2028 – 5.94%
    8/15/2030 – 5.865%
    6/15/2032 – 5.669%

    Is there value in GL-D?

    1. Sorry Dick, but I don’t have an answer. I bought at $14.25 and sold at $15.58.

      I do know there was a second short seller report that came out, but it didn’t seem to have much affect on the common. However, today there is a new report from one of the short sellers that claims GL is the subject of an SEC investigation. At this point, I’ll just continue watching… (okay, maybe that’s my answer!)…

      1. The second report was warmed over garbage. Rehashing known items back to 2018. It was like spaghetti at the walls /kitchen sink complaints. Both companies operate from the shadows, so they don’t care about reputablity, just price moves.

        The move today is without a wire story news article. For how far the common has come, which is way over a retracement you can expect increased volility. Perhaps some due to buffet coming out with his chubb ins buy, further separating himself from GL

  7. I do not remember who posted about Bank of America’s preferred issues which will be transitioning to floating rates on 9/5/2024 and 10/23/2024. My initial reaction was they would be called. After some belated research, I decided to invest in one of them.

    The Series U began to float on 6/1/2023. CME Term SOFR + 339.661. Schwab has a current yield of 8.73786%. So, it did not get called as I would have expected.

    I purchased Series X which pays 6.25% until 9/5/2024. CME Term SOFR + 396.661 thereafter. So roughly 9.4%.

    Series Z which pays 6.5% until 10/23/2024. 3-month CME Term SOFR + 443.561 thereafter. So close to 9.9%.

    https://investor.bankofamerica.com/fixed-income/preferred-stock

    1. do you have cusips on the BAC preferred series U, X and Z as they are not exchanged traded

      1. I am not sure why they waited on Series U ( a year after call date at a high floating rate). But, this alters my thesis, that Z may not be called since they have not called U. If I am lucky, I will get a payment or two before they call it Z,

      2. I got in U a couple of months ago and will make money on it, but not all that much. I found out it was called when I went to see about adding more of it today.

        Getting really hard to find anything worth buying.

  8. CIM … New Issue NOTES …May 15, 2024 . . . CIMN
    Any Mkt levels for this new issue ?????

    NEW YORK–(BUSINESS WIRE)– Chimera Investment Corporation (NYSE: CIM) (the “Company”) announced today the pricing of an underwritten public offering of $65 million aggregate principal amount of its 9.00% senior notes due 2029 (the “Notes”). The Company has granted the underwriters a 30-day option to purchase up to an additional $9.75 million aggregate principal amount of the Notes to cover over-allotments. The offering is expected to close on May 22, 2024, subject to the satisfaction of customary closing conditions.
    The Company intends to apply to list the Notes on the New York Stock Exchange under the symbol “CIMN” and, if the application is approved, expects trading in the Notes on the New York Stock Exchange to begin within 30 days after the Notes are first issued.
    The Company intends to use the net proceeds of the Notes to finance the acquisition of mortgage assets including residential mortgage loans, non-Agency RMBS, Agency RMBS, Agency CMBS and other targeted assets, and for other general corporate purposes such as repayment of outstanding indebtedness or to pay down other liabilities, working capital and for liquidity needs.
    The Notes will be senior unsecured obligations of the Company, and pay interest quarterly in cash on February 15, May 15, August 15 and November 15 of each year, commencing August 15, 2024. The Notes will mature on May 15, 2029, and may be redeemed, in whole or in part, at any time, or from time to time, at the Company’s option on or after May 15, 2026.
    Morgan Stanley & Co. LLC, RBC Capital Markets, LLC, UBS Securities LLC, Wells Fargo Securities, LLC, Keefe,

  9. I bot HFRO/PRA AT 19.01 (7.01 YLD) as t he HFRO.pra/pff pair is testing uptrend in place since november (1yr horizon)..having said that close below is 19.18 is ominous as there is unfilled gap from 19.06 to 18.79 and on a 3yr horizon the pair is still trading near .5 sigma cheap leaving plenty of downside …below excerpt from “Trapping Value” on S/A
    Investors interested in just the income can consider the preferred shares (NYSE:HFRO.PR.A) which are rated A1 by Moody’s (MCO). They dropped a bit in sympathy, but the lower payout strengthens their position, and the 7.1% stripped yield from an A-rated security is not the worst place you can go.

    1. Dondero and his minions at Highland Capital and Nexpoint have destroyed a ton of wealth for themselves and their shareholders over the past few years. Good Luck.

  10. I’m now able to import a stock price into an Excel spreadsheet from ToS using the RTD (real-time data) function in Excel. The formula looks like this:
    =RTD(“tos.rtd”,,”LAST”,symbol)
    Symbol can be a reference to a cell with the stock ticker or the ticker in quotes, such as “MSFT” or “SRpA”.
    “LAST” is a request for the last price. There are other choices for this argument.

    1. rocks2stocks,
      I’m unable to import a stock price into my Excel using your formula – I tried “MSFT” for the ticker. I’m using an old version of Excel (from 2013). From what I’ve researched on-line, I need to have the RTD (real-time data) function in my version of Excel ( which I don’t think I have) or I need to create a RealTimeData server for Excel (which might be above my skill level). I’d really like to have the ability to import real-time prices for stocks into Excel. Do I need to have a certain version of Excel? Any suggestions are appreciated? Thank you

      1. Try this link. I am not sure how recent your excel version has to be to use this function.

      2. Red-
        What I wrote is the sum total of my knowledge, except that I know there exists another, older Excel function that can be used. I did a lot of googling and reading before I finally stumbled on a tutorial with the info I needed.

        Sorry and good luck.

      3. You will need a newer version of Excel for RTD to work and in my experience, that is the easiest and most reliable way to go. You can buy OEM keys for a few dollars at various different sites online and download Excel, or the whole MS-Office suite from Microsoft.

      4. Red Owl you must have the Schwab ThinkOrSwim app (not the web version) open for the formulas to work.

  11. https://www.propublica.org/article/sports-team-owners-face-new-scrutiny-from-irs-over-tax-avoidance

    I know a few of these owners. One is chasing Malone for the Braves. Perhaps Malone enjoys the tax deferred income. In the meantime, my city is building a baseball park which will be leased by another owner (he is poorer and this is a minor league) at a subsidized rate.

    As one owner said, “we play the national anthem before every game. Do you want us to pay taxes too?”

    1. ProPublica is long on calling out taxpayers who file their taxes in compliance with IRS rules but mighty short in calling out lawmakers that created the rules.

        1. That wouldn’t surprise me at all. But it all the more reason they should be called out, yet ProPublica never seems to do that.

    2. ProPublica are also the ones who stole or received huge numbers of stolen taxpayer returns from the IRS. Then they selectively leaked and published them, and invented new “we wish taxes worked this way” imaginary tax rates and claimed in their summary articles that the Evil Rich paid a lot less than They Definitely Should, all the while ignoring that they were presumably paying exactly what the tax code requires.

      They also did this just ahead of some major election when their favorite political party was trying to campaign on raising taxes to give away more taxpayer money to Likely Voters, er, those More Deserving than You.

      I would not trust their ethics or their tax reporting, and would caution reading their various “investigative reports” with a keen eye towards bias.

  12. Thanks again to the veterans on this site who preach the advantage of low-lying GTC’s.

    I had a major XFLTRA $24.60 Buy GTC sitting for over a week.
    During a 3 minute span at 11:50-11:53 am today, my 24.60 and two other Buys filled.

    The rest of the day, before and after, prices filled $24.70 to $24.85.
    Thanks, guys

  13. CGBDL is listed as an 8.2% Note but shows ex date amount of 0.575 on 5/14.
    Could anyone shed some light on this discrepancy?

    1. That’s 9.20% instead of 8.20%…. How weird. They paid the same last time around too….. Quick check of the prospectus doesn’t explain it…. I’d say check with IR, but maybe you’re better off just saying nothing…….Carlyle’s not that dumb, though so there’s got to be an explanation somewhere.

      1. Last time was additional due to the extended stub period. Seems like someone forgot to update the payment details this period.

        1. I saw that, FL, but didn’t do the math… I didn’t think 11 days extra would make that much difference, but it did….. That explains March but who’s the dummy on June? Where are you seeing that ex-date amount, Rich? Maybe your broker’s just screwed up.

          1. 2whiteroses, ex-date amount is shown on the TradingView.com chart and Yahoo finance website. I’m thinking it could be a misreported number that will eventually be corrected. I don’t own any shares yet but I was researching for possible purchase when I bumped into this issue and I wanted to get the facts before I jumped in.

            1. Rich and 2WR, I see it at my broker (Fido) too. $0.5751 for the upcoming CGBDL interest payment (May 14 ex-date and June 3 pay date).

              I also think that it’s most likely the broker. I assume brokers get their interest and dividend info (dates and per-share amounts) from DTC, which suggests that either DTC hasn’t sent it out yet, or it has but the brokers haven’t updated their systems yet.

  14. Morgan Stanley has a new issue CD maturing (non-callable) 11/23/26 at 5.0% if anyone is interested in a slightly longer duration CD to lock in that rate

        1. Geez. You get 10 days to tell them you want your money back, the grace period, or they will enroll it in another 100 year CD. Penalty for early withdrawal is 10 years of interest.

          I mean I could not even buy this for my son as he would be 112 years old when it matures. Then his son would have to be johnny on the spot to actually say “give me my money please” before it goes for another 100 years.

          What an odd product. You are basically giving them the money forever. You and your heirs would have to be ridiculously lucky and careful to ever get a sniff of it without 10 year penalty.

          “CD early withdrawal penalties may apply to both accrued interest and principal, if necessary.

          At maturity, CDs are automatically rolled over into a new CD of equivalent maturity, unless the account holder elects to withdraw their funds. The account holder’s election must occur during the “grace period” – which is defined as the ten calendar days immediately following the maturity date.”

          1. I have no interest in this issue but found this detail info interesting…. It also makes me wonder if it has a death put. Does it?

        1. WR you sure they’re calling it?
          Just kidding. You have been long suffering over those people.

      1. Senior citizens can buy 20+ year CDs if they have the customary death put. Almost all cds do, including securtized cds. But normally only attractive (bought) if they are way higher than short terms.

  15. We must be doing it all wrong!

    Bloomberg is out with a long story today on a company, IM Academy, that has married investment training with multi-level marketing, ala Amway.

    **********************************************************************

    During the pandemic, IM grew from a small New York operation into a global phenomenon by selling the promise that it could teach anyone, particularly teens and twentysomethings, how to become a savvy retail investor. For a one-time $275 fee and $250 a month, members had access to online courses and coaches providing trading strategies—the “Yale of forex, the Harvard of trading,”

    Terry promised newbie IML day traders spectacular returns. “We have a product that matches the highest-income earners in the arena,” he said in a video, mentioning the $30 million in yearly bonuses Goldman Sachs traders make. IML students could learn foreign exchange trading or how to trade commodities or options. Lessons included a dozen or so prerecorded videos of Terry—at the time the company’s sole employee, along with freelance contractors—explaining market basics, like relying on price charts to predict pricing patterns. “Those kinds of charts are absurd,” says forex expert Brent Donnelly, president of trading analysis firm Spectra Markets. Even if prices followed a certain direction at one point, he says, it doesn’t mean they’ll follow that same direction again.

    These salesmen didn’t have any experience with the stock market or appear to show any sign they understood it. But that didn’t matter. They were hot, young and magnetic. By 2017, Rosa, Brown and Morton had become IM’s top salespeople and the company’s biggest influencers. Rosa and Brown eventually earned $750,000 monthly. Morton, often seen on Instagram wearing his gold Rolex and his Louis Vuitton shoes, was hired as executive vice president. Brown cemented his role as IM’s vice president for field operations, eventually declaring in an IM promotional video that it was “the best company in the world.”

    Shortly after her 18th birthday, Jones started trading the $7,500 she’d saved up as a part-time convenience store clerk. She followed IM’s directions to copy and paste trading information that traders working with IM would send to her IM app. She could buy a currency at a certain exchange rate, or a stock or an option at a certain price, and sell it when it hit a higher point a few minutes later. Sometimes she made money, but more often than not the price would go the other way and she’d lose her investment. She would ask her IM leaders what she was doing wrong. They told her she was just too slow—by the time she copied and pasted the information to trade on, she’d missed the moment. Jones tried to move faster, but her bank account balance was evaporating. “I didn’t understand what I was doing wrong, but every time I brought it up, I was shunned or told it was my mistake somehow,” she says.

    T2 here, the Bloomberg article is very negative from an investor standpoint citing people that suffered >100% losses. Just like other MLM’s structures, the people at the top do make a lot of money. Those at the bottom of the pyramid, not so much. Between this, the Redditers, Youtubers and TikTokers, there seems to be many folks that will teach you tricks to quick riches. And I am leaving out our friends on the unnamed, financial advice website that always have some can’t lose advice.

    Would write more but have to go to my IM Academy training class!

    FOR THOSE NEW TO III, T2 (Tex the 2nd) IS NOT SERIOUS ABOUT BEING A MEMBER OF IM ACADEMY. T2 RECOMMENDS YOU RUN AS FAST AS YOU CAN WHEN SOMEONE PITCHES YOU ON JOINING THEM.

  16. Chimera Series D (CIM-D) just became a floater on 3/30/24. Just updated my google spreadsheet reflecting the floating dividend announced May 9th by Chimera. The quarterly dividend jumped from $.50 to $.6989, for a yield of 11.44% at today’s price of $24.43. The series B also just floated with a virtually identical jump. Both became callable on 3/30/24 too. Those two represent a significant increase in interest for Chimera. I wonder if I get to enjoy this nice increase or can Chimera scrape up the cash to call one or both? I am beginning to really enjoy owning a number of FF that are now floating!

    1. I don’t own either. I did for a while once-upon-a-time, but I got out a long time ago.
      it would seem to me they would want to redeem the B before the D (higher rate), but the D is only about half the number of shares, so it would take less cash to redeem.

      As you say, question is whether they have/can raise money to redeem…

      I spent no time on their financials, but it looks like they just did a reverse stock split, so raising cash may not be so easy for them.

      Maybe the question is whether they are earning enough to pay the preferreds at all? (again, I spent no time in their financials)

      1. CIM Notes due 2029…. New Issue posted May 15…. just noticed @ 10:45am NY. $25 denom….. trying to see Prelim % level.

    2. I have mostly CIM-C now for the lower price and more upside. The price difference balances out after adjusting for the later float and lower rate. Also traded into some CIM-A fixed, may be priced better if rates ever drop in future years.

  17. Hey III’s….. A penny for your thoughts on this. I own GMLPF. It is the last asset in an SEP account that I wish to close as I am now long retired. To close the account I can either “roll” it to an IRA account by selling it and then buying it back, or convert it to my Roth which doesn’t require selling it. A third option is to simply sell it, take the capital loss hit (always an ouch!), and reinvest the money, hopefully in something not likely to become what GMLPF became. I guess the final option is do nothing and leave the SEP with this one asset. What happens to GMLPF can be nasty for me capital wise, or it may turn out ok in the end like some other things I got myself into. It’s a tiny part of my portfolio as I have been disciplined in maintaining a diversified portfolio. I just hate to suffer the capital hit as I haven’t owned it long enough for the dividends to wash it out somewhat. If it came out a few bucks it would. Any comments are appreciated!

    1. I have a mere 100 shares. No knowledge of how risky but too low to sell paying 20%. May be better in a taxable account for the qualified div and the write-off if you lose.

    2. “I can either “roll” it to an IRA account by selling it and then buying it back…”

      If you are saying sell it in the SEP account, transfer the money to the IRA, then buy the same stock back in the IRA, I myself would think about this tactic… I rarely, if ever, “buy back” what I sell. After (any) sale, I regard the proceeds as untethered free money. I prefer to reinvest the sales proceeds in whatever is the best investment at the time. Just my two cents.

      On the specific stock, GMLPF is illiquid and trades on the Expert Market so I would guess that it will be easier to sell to the sharks in the dark than to buy it back from the sharks in the dark at the same price.

      Disclaimer: I know nothing about the ins and outs of SEP Accounts, or the ability to take or not take capital losses or to carry over the basis of losing securities from account to account. JMO. DYODD.

  18. . . .Fed Chairman Jerome Powell says US economy has been performing well lately; it was notable that inflation didn’t make progress in Q1; consumer spending and business investment are holding up well; Fed needs to be patient and let policy work.
    Arnd 10:30 NY … FED FUNDS Futures for Sept & Dec …..
    Sept Contract indicates FF = 5.20%
    Dec Contract indicates FF = 4.98%
    per above … looks like a December 18 ease.

  19. Any thoughts on NEE-R – pos/neg etc?
    NextEra Energy, Inc. 6.926% Equity Units Due 09/01/2025 /no call date
    $50 issue, now ~44.14 current yld is 7.85%
    Conversion to common seems up to the holder.

    1. Gary, I would make sure I understand the provisions here. The one thing I can guarantee you is come maturity date 9-1-25 you just wont happily recieve a $50 maturity payment.

      1. Keep spreading the gospel Grid. The only one I am still in is the EP-C
        That AQNU that has a required conversion of 3.333 shares at 50.00 when the AQN is at 6.00 is like holding a gun to my head. At least the EP-C is optional.

        1. Yes, Charles, the good thing about EP-C is its basically a bond with a nearer term maturity. The conversion is largely irrelevant being so far out of the money….But those equity units things are sumpin’ else! And like you, I have no interest in.

          1. Now don’t you go make me re-read this EP-C thing, Grid, and you didn’t. I’ve owned EP-C since 2019 and thoroughly read it over at that time to feel ultra confident the “Convertible” aspect of it could be chaulked up as being totally irrelevant due to its having been what so many long term KMI common holders refer to as being “kindered.” I’m glad nobody thinks differently now.. I’m in your camp and want nothing to do with a true convertible…

            BTW, and totally irrelevant to EP-C I also bot ACR-C many moons ago thinking its terms were so Draconian that it couldn’t be considered to be anything but a cumulative F/F preferred that would be called on its first call date, 7/1/24. Given it could only float UP, not down and would float at LIBOR + 5.927 (they’ve adopted SOFR), it would easily be refinance-able at a cheaper price at call date….. I suppose the case could now be made right that given its field of operation (“commercial real estate,” but focused on multi-family housing) they may let it float even though the first rate will be in the range of 11.40%. I’ll takes me chances, but never thought this one would be in doubt either.. Guess I’ll know for sure in about 20 days………

            1. ACR-C has been a great issue for me, buying on dips and selling when it gets ahead of itself. Based on today’s closing price of 24.43 and assuming redemption on 7/30, I calculate its IRR at 20.61%. One quirk to the issue: in addition to its high premium over LIBOR/SOFR, it has an interest rate floor of 8.625%. (That’s the “can only float UP” referenced above.)

    2. Gary,
      What Grid said….

      A 30 second look at QOL says NEE-R is a piece of a debenture (due in 2027 that shifts to a reset rate next year), tied to a variable share purchase contract…
      Very complex.
      you should read the prospectus to try to understand the pieces. Good luck to you with that.

      Personally, I avoid things with so many moving parts. too hard to understand/track.

      Back in the day when I was involved in structuring ridiculously complex transactions, we would sometimes create a monstrosity like this to meet a very specific need. They usually worked for that purpose and the folks involved in the transaction eventually knew what the need was and how the issue met that need (more or less – we used to have to do little “mini-roadshows” to explain it to the teams).

      It was VERY hard for someone to figure it all out from “outside” the transaction.

      I am not suggesting this is necessarily one of those monstrosities, but when someone sells something this complex, it makes me wonder what they are actually up to – and I wouldn’t buy unless I could understand that.

    3. Gary to the Grid’s point this secuirity is complex. You must like NEE stock!

      This security is comprised of 2 things a bond that pays a quarterly coupon and a funky mandatory call option. At maturity you are forced to exercise the call which is for a variable mount of shares of NEE. The amount of shares depends on the price. You will not get the principal of hte bond at maturity you will only get the stock.

      Yes you can convert before maturity but it is unlikely to ever be worth it. Also I would not spend much time thinking about the reset feature as it will only impact a couple of coupon payments.

      You must like NEE stock if you do and would buy it today for the long term, this could be an intresting approach. You will be taxed on the interest as ordinary income.

      Also – I have not read prospectus. Just going from top of head and comparing to other things I have seen in the past. If I was seriously interested, I would spend a few hours on the prospectus.

      You must want to be long NEE common.

    4. NEEprR is a Mandatory convert, it will move point for point with the common, you are giving up some capital appreciation for current income. On 9/1/25 it will convert into the common. You are really buying the common with an enhanced current yield at the expense of some capital appreciation.

      1. ChrisW –

        From my-now-60-seconds of research, it is not really a convertible. it is a contract to purchase a variable number of shares, coupled with an interest in a variable debt security, so it may or may not move point for point with the common over time like a true convertible.

        the extra moving parts likely make it more risky. You would have to carefully parse the prospectus language to see how that risk evolves.

        In my experience, companies often offer these complex securities to offload a specific risk/solve a specific problem they have (which they won’t tell you about directly). If you can’t get a handle on what that might be, you are just playing blind. Its like the old adage ‘if you are sitting at the poker table and can’t spot the sucker, its you”.

        Anyway, I am not giving advice – just my free, unsolicited thoughts (and worth every penny). If you like this offering, that’s great. For me, it is not worth spending half a day unraveling the prospectus to see how us common folks get to carry the risk.

  20. Today, I bought the CoBank, 6.45% coupon until 10/1/27, at $100 Then, 5 year T plus 3.487%. Resets every 5 years. no maturity date, BBB+ , qualified distrib
    cusip # 19075QAE2

    1. I looked at those today but the minimum qty was 250 which is more than I want in any one issure.

      1. Scott—many times the minimum quantity is 250 bonds. I think there are only a few market makers in the CoBank issue and sometimes I suspect they are loaded with inventory and don’t want to sell a smaller amount because it might affect the value of their total position. Just my guess. BTW, I bought 50 bonds today, but I could have only bought 25 if I wanted. To me, it just a sock drawer issue. BBB+ with 6.45% yield.

        1. I am the same. I always have a bunch of one Cobank issue or another. I currently have a double position of CKNQP bought at a price well below the current one but I figure it is going away on the float date like the others I held did. So I will keep my eye on the one you bought as a potential replacement when the time comes.

          Thanks for that!

          1. Scott & Islander I hold some of the CKNQP (209 shares) in a Roth. I didn’t sign up for a drip plan but I was getting paid in shares and partial shares.
            Per Quantumonline the IPO was 3 million shares. This is what they say”The Series H Preferred Stock will be issued and may be held or transferred only in blocks of 250 shares.”
            There are either more than 3 million shares now, or my broker was holding some themselves?

  21. CareCloud – CCLD, CCLDO, CCLDP

    Just catching up on the day – I’m surprised there’s no discussion regarding the $5 unsolicited bid for CareCloud…… If successful CCLDO will be called but no word on CCLDP….. Believable? Actionable? with CCLD up 89% on the news, there are those out there willing to take the bet………… dunno what to think… never been in CareCloud but have been tempted a few times’

    1. Sold my CCLD and CCLDP end of last year for a gain but it would have been much nicer if I waited till today. Again my crystal ball failed me.

      1. Dan, don’t feel too bad, I sold all my GJH at 9.10 last Thurs. made a nice profit about equal to the next interest payment. Who knew it would run up as much as it did.

    2. The “new guy” is a deal maker. Just take a wild guess at which preferred he himself owns. I bet you’ll be correct

      1. Yes he did – at the end of the day….. What makes today’s action all that more speculative is the press release states the original NON-BINDING and provisional offer was made 2 months ago and has already been turned down by the Board. So those jumping in are willing to bet at a price +90% above pre-announcement’s price that a turned down “maybe it is maybe it isn’t” a bid will eventually return to the table… So the good news is perhaps CCLD is now in play. The bad news is there’s actually no bid on the table now and apparently no alternative new or more real bid anywhere near the turned down price ever showed up during the Board’s review..

        Who knows? Maybe it’s a great bet, but a roll the dice bet it absolutely is….

        1. 2WR I played the PARA game for .25 profit trades and broke even. I guess my heart wasn’t in it like a year ago when I was doing flips. This seems even more of a gamble with a micro stock with a value of $20 million and 2 high yielding preferred it has no chance of refinancing.

        2. Not up to speed with this company, and speculation on acquiestion is never a good idea. But, I found the discussion about Series A vs Series B to be illuminating. It is easy to overlook the impact of acquisitions on preferred issues but it is important. As we saw with LIBOR two different classes of the same firm’s preferred can have different treatements in these situations and it is important.

          Also I think it’s good that management are taking the issue on the Series A lanague back for review. It does seem to speak well of management.

  22. Has anyone heard of #RoaringKitty ? on X
    I’m hearing their tweet/report caused outages on some brokerage websites.
    From what little I know, It’s the Gamestop stock today.
    I read where they are upset about naked short selling or sumfin.
    No fight in this dog.

    1. lol. Are yout not familiar with Roaring Kitty? Roaring Kitty is the person who engineered the GME short squeeze a few years ago. You have to give the guy credit – he bankrupted hedge funds. Certainly worth paying attention to.

      If you have a very strong tolerance for bad language suggest the movie Dumb Money. Re-Double the warning about the language…

      While I would not chase so called Meme Stocks at all, they are a factor in the markets like it or not. Always best to understand these things to one degree or another. Plus keeping up with the kids keeps you young(ish).

      Lest we be too judgemental about the younger generation… the entity that self identifies as “viceroy” (which I think is an AI Chatbot, but I digress) Tweeted out a single slide Meme today concerning ABR. The entity that self identifies as “Roaring Kitty” also Tweeted out a single slide Meme about GME.

      Roaring Kitty had much more impact than viceroy and the Roaring Kitty slide clearly took less work to put together. One is free to draw one’s own conclusions… As far as I can tell they were both Memes.

      1. Agree with August
        I watched from the sidelines on Reddit the initial days of Game Stock and AMC.
        The furious action combined social media/”doing good”/gambling/excitement during the COVID lockup.

        It is valuable to understand the power of these forces in making buy/sell decisions.
        The re-emergence of Roaring Kitty and the fact that his post was viewed 12 MILLION times tells you a lot about what drives markets.
        Cryptocurrency trading captures many of the same forces.

        1. Westie, there are times when crowds or a group of people like Muddy Waters or Viceroy can move a stock and you can take a risk and decide to join in or there is times when the mood of the crowd will move the market. Greed and Fear will move the market, but Panic is a stronger emotion that can overrule the senses. In a real market panic everything gets tossed and it’s easier to find gold after the flood water recedes. Similar to the real world it’s easier to find placer gold after a flood than trying to hard rock mine for it.

        2. I was talking to some of the “kids” (mostly 20s and 30s whom we mentor/worked or interned for us/friends of kids/etc. who were at my house for a big BBQ not long after the original “meme stock mania”.

          It was a while back, but it was a really enlightening conversation.

          Most of them work in silicon valley and have money to play. Several had put money into the meme stocks as a laugh – it was fun to jump into something disruptive and to be part of something really big happening online that was “shocking”. Kind of a “stick it to the man” vibe. I also think they were kind of bored, and this added a little excitement to their lives (my impression – nobody said that directly). They didn’t really care whether they made money or not – the money was just the price of admission.

          For an old guy like me who has always had to earn my own way and who views money as a tool, it is so interesting to see how some of these kids view money almost as a toy (and seem to assume they will always just have it).

          Reminded me that my world view is far from universal and that younger people often see the world in such a different way that I couldn’t even conceive of it if someone young didn’t paint me their picture.

          That all said, the guys triggering these “runs” must be making a fortune from providing this “entertainment”.

          1. Ah to be young again private. All fun and games until someone gets hurt. Last year I was thinking I could westle a 275# ram to the ground to trim its hooves but after doing one 225# ewe I was done for the day.

          2. If you ever want to see the “kids” that are compulsive gamblers that love to show off their large gains or losses on pure speculation, check out wallstreetbets on reddit. It’s where much of the unity for the meme stock craze came from. Some have play money, others claim they are using their life savings.

            You won’t find any concept of value investing over there. It’s another display of many people following what they think is the trend with many not understanding it.

  23. Does anyone have experience/suggestions for a exchange of a rental property to 1031 to DST to OP? Especially re a qualified intermediary. Thanks!

    1. Hi Pickler-
      I’ve used IPX 1031 a couple of times. They did an excellent job with very reasonable pricing. My experience with DST has not been good. I’m in 5 different properties and 3 out of the 5 have cut distributions. These 3 are all apartments. At the time of purchase I thought what could go wrong with apartments, ha. DSTs are basically not marketable, so you are in them until the controlling ownership sells. For me, if a suitable property I can control and sell when I want is not available, then I’ll just bend over and pay the taxes. If you do look at any DST, make sure to Read The Fine Print.

    1. Howell is basically documenting operation twist. Which is to reduce duration to increase liquidity to prevent having to perform further QE.

      Like 22:53 Howell’s comments on Yen/Yuan pair. With a guess that Yuan will break $8.

      1. Trying to understand world and national monetary policy is interesting. How it relates to the common investors is another thing. The most important thing I learned is how duration affects what he was talking about. The failure of the English bank in 1866 he mentioned was due to their being successful for 40 yrs buying discounted short term receivables. Where they got into trouble was investing in longer term investments.
        https://en.wikipedia.org/wiki/Overend,_Gurney_and_Company

  24. On one of the bio tech stocks I follow, one of readers said she had heard of a behind the scenes internal stocks tips forum that the SA bloggers use for themselves. 🙄
    Probably just another way to get money.
    I linked the tip ranks website for her with the ratings for CWM

    1. I once insulted CWM by saying he was #2 in Tip Ranks. Not realizing he had moved up since I saw the list.

  25. For those concerned about US debt > GDP, consider looking into GDX.
    It’s been a good ride so far – I consider it a hedge against profligate gov’t spending.

    1. Been sick the last 3 days, running out of news to read. No sleep, think I am starting to hallucinate. Wife made me take the test and says I have the yuck again. I spotted this on Yahoo this morning,
      https://finance.yahoo.com/news/kaiser-permanente-sell-private-fund-131419330.html
      Wonder if we will see more of this with other healthcare and insurance companies. 10 or more years of low rates there are a lot of low interest rate investments that could flood the market.

  26. Just got a notice from Schwab that the Dominion Energy 4.65% 5 year rate reset bond cusip 25746udd8 is the subject of a self-tender for $997.50.
    Does this make it more or less likely that Dominion will call these bonds in December? I hope they don’t.

    1. How onerous are the reset terms? It certainly would imply to me that they intend to call in Dec. Last trades seem to be odd lots on the bid side at 99.58. Tender is for any or all bonds

    1. The easy money on the regional bank hating and a rebound last year has already been made. Now an investor or trader has to really factor in whether this bank will still exist in the future or get properly merged with another bank. If I know one that outcome is zero, the other direction better offer some significant returns. Not sure I see the preferred upside vs downside risk as juicy enough.

      Powell or anyone at FDIC isn’t going to give a crap about preferred equity holders in any type of forced takeover.

    2. They all should be looked at individually. If you find anything good where the bank’s assets are looking like they will continue to perform please share.

      1. I still own DCOMP. The parent seems to be doing okay and they’ve been hiring people away from NYCB for asset/deposit gathering. DCOMP is very thin and any selling can take it down 5%. The current yield is 8% and it went ex-div on 5/7. DYODD.

        1. Sometimes this chat can be frustrating for these somewhat thinly traded preferred as it spreads what might be good ideas before a person has had a chance to accumulate. 🙂

          I have been slowly throwing change at DCOMP. I would like to own some shares but I do not want to chase this puppy. I want people to dump to me as the spread is normally quite wide. As I type this it is .20 cents but it sometimes gets much wider.

          I was going through their annual report and I do not see any alarm bells with the bank. A lot of their HTM will mature in 1-5 years. It is not long dated paper.

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