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.
Any of you RILY guys know what’s up with it lately? It’s down over 25% on seemingly no news over the last week. Though it’s entirely possible I missed something.
No position, just curious.
There are rumors of more specific SEC charges, though there hasn’t been a filing as of yet. Stock hit a 52 week low today on heavy volume. I am still holding large positions in RILYM which will mature in 8 days… Anyone else know anything here??
Making a suggestion : if you are over 59.5, consider a 5 year annuity at 5.5 from
A++ Mass Mutual Ascend
You can contract to buy it now but not fund it for 60 days….or NOT AT ALL. It’s a free option. . I have a standing order for a $250,000 annuity and I bought one when rates fell a lot last year toward the end of the 60 day period
dplfp.com
his is a no commission annuity so you contract through DPL, which markets to RIA’s
have never bot an annuity as I managed my retirement funds and foundation using a 60/40 portfolio withdrawing 3% inflation adjusted annually but would like to know with investment grade bonds yielding just under 5% through an etf wrapper and daily liquidity what is advantage of annuity
The 5-year investment grade corporate yield can be found by looking at the yields of ETFs that track this type of bond. One such ETF is the iShares 1-5 Year Investment Grade Corporate Bond ETF (IGSB).
Based on the latest information I have, here are some key data points for IGSB as of mid-February 2025:
30-Day SEC Yield: This is a standard measure of a fund’s income distributions over the past 30 days. For IGSB, it was approximately 4.89%.
In theory, because you are receiving some of the capital in each payment the income should be larger. Of course, depending upon the contract details, there may be nothing for your heirs.
you get to defer the tax with the myga too I think, which probably equates to a some (2000?) extra bucks over five years with the usual penalties and illiquidity
The advantages of what I’m referring to :
5 year fixed rate of 5.5 then you can withdraw all the money,so you don’t actually reach the point of annuitization. It’s essentially a CD but backed by a very highly rated insurer. I don’t know of a diversified portfolio of highly rated debt that matures in 5 years and pays 5.5 (closest is callable FHLBB debt I guess, but sans the call you’d be getting more like 4.5)
The interest on the annuity can be indefinitely rolled with no tax due. At the end of 5 years you can withdraw and pay the tax, or you can roll to another multi year guaranteed annuity, and I’ve been advised that can be with a different insurer.
For Mass Mutual to default I think there would have to be a big pandemic with a lot of excess mortality as their life insurance exposure would also have access to the same equity buffer. I think Mass Mutual also is a reinsurer of other company’s annuity blocks.
You can also withdraw 10% of the annuity annually if you desire, and obviously the entire amount at the end of 5 years.
There are some 5 year MYGA’s that allow full withdrawal at any time, such as Corebridge’s 5 year annuity at 5.15%. That’s an A+ insurer. However, there would be a market value adjustment up or down depending on what rates have done
LT: I don’t understand this. You buy the annuity, then you withdraw all the money so you don’t actually reach the point of annuitization? Please explain.
Thanks.
Nimzo, yes.
This is known as a MYGA, or multi-year guaranteed annuity.
I didn’t realize these existed till about 5 years ago when an advisor told me about it. At the time the rate was 3.5 for 7 years and I’ve still got those, withdrawing the penalty free amount each year ( penalty free amount is different with each company)
At the end of the fixed rate guarantee period you either withdraw within 30 days or it annuitizes as a crappy life annuity at some horrible IRR….or in some cases it rolls to a new 3, 5, or 7 year period at the then current rate.
I had one with Security Benefit that was a 4 year deal and I took the money out in August. They had offered 5.6 on a new 5 year and looking back that wasn’t so bad but I do not like A- insurers. Only A+ or better for me.
Interest accrues within the annuity and isn’t taxed till you withdraw it, so I could have rolled with Sec Benefit and not paid any tax.
I use DPLfp.com because they are an admin for various carriers and an advisor told me they would deal direct with me. If you want to see the entire marketplace of MYGA’s check out stantheannuityman.com. He works on commission from the companies so you will see lower rates from the same carriers as DPL
I live in NV , the only state I know of that charges a premium tax on annuities, but they do not charge it on MYGA’s, only charged if it actually annuitizes. I checked that with the State.
Def check out taxes in your state, but federal tax is deferred. Its like a self-made IRA.
If you are under 59.5 and withdraw the money you’ll pay 10% excise tax
I had a couple of these thru my secondary med insurer, Phys Mut. but never heard of the term MYGA. It must have been before EVERYTHING began to be called by initials…. In any event, thankfully that worked out exactly as I had expected because nothing else about the annuity worked the way I had thought it would and I read it pretty throroughly. I swore off doing anything else with them after that but have left the door slightly ajar to consider annuities in general………..
Wintrust Prfd’s …. 6.875% Fixed …. & 6.500% Fltr …. Both w/ Jly 15 Call ….
Any holders have thoughts on upcoming Jly call ….. both at slight prem to the $25. call.
JIM; I can only speak to the WTFCP which comes up in July of 2025. It will be called. The reset rate is way too high & there’s no way a bank of this financial strength is going to pay you that reset rate. You can look up the details on Quantum.
Any thoughts on the Gold Market? My gold ETFs have been lent out for a meager 0.625%, but what is unusual is they have been lent out on and off usually for a day, but now several days in a row. Just wondering if this is a sign of trouble ahead, or someone figured out a way to make money by borrowing against Gold ETFs.
As a guess, gold futures make 3000-3140. I’ve held IAU since 2022. It’s hard to imagine selling, but…
The same guy I know who sold everything to buy BTC apparently put 10% in gold.
So, I was wrong about him putting everything in BTC!
The higher BTC & gold go, the more certain he is that “fiat’ currencies are going to go away.
Is any of this move related to the rumor that Ft Knox is lying about the gold?
This was a story floating around the interwebs and CNBC reported on it.
I recall trying to fly a plane over Ft Knox in 1991 on a flight from Cincinnati to Memphis. The controller told me to turn to a specific heading when I asked to fly over it, and said ” you are NOT flying over Fort Knox!”
The area over Ft Knox is marked as prohibited airspace.
The move in gold is largely related to buying by China. They’re buying for two reasons. To reduce their exposure to USD to avoid a scenario like what happened to Russia and their USD holdings and to prepare for a trade/tariff war.
The gold was certainly there in 1964. I remember seeing a movie in 1964 about an eccentric billionaire who wanted to remove it. I believe his name was Auric Goldfinger. Maybe MGM, as the new owner of the movie franchise, will be doing a sequel. It would be timely given today’s news flow on Ft Knox.
Governments come, governments go. Gold endures. JMO. DYODD.
Ft Knox suspicion is nothing new. I don’t know what’s next I trade Metals etfs the same way I trade everything else. Gradually sell the rallies and buy back on the pullbacks. There haven’t been any pullbacks big enough to buy in awhile. if the price keeps exploding from here then I just make a big profit not a huuuge profit. I can live with that. Still have a few shares of IAU in a taxable acocunt I’m slow to sell becasue I don’t wan to pay the taxes.
Jtrader, not sure if you have GLD or another gold ETF but there are reports of stress in the physical gold markets resulting in borrow rates of GLD being elevated for the last week or so.
https://jensendavid.substack.com/p/1045-borrow-cost-for-gld-exchange
The borrow rate for GLD at Interactive is 4.92, Schwab is 1.5%.
Bloomberg Odd Lots has an amusing interview with a jewelry store owner on gold, diamonds, Rolexes, etc. A plain talking, street level kind of guy.
This Is Why People Are So in Love With Gold
https://podcasts.apple.com/us/podcast/this-is-why-people-are-so-in-love-with-gold/id1056200096?i=1000692184792
Looking to add gold. Governments come, governments go, gold endures.
JMO. DYODD.
Thx Chuck… oversight my part …. now see the WTFCP Jly would be reset as Five Yr Tsy … Plus the big tack on.
Agreed on the WTFC basics ….
if by .625 you mean 62.5 basis points — I wouldn’t lend my gold out for 62.5 basis points! Just saying! Be careful out there!
FYI. I’m a home gamer, not a finance professional!
And if I’m off by a factor of 100 or so … well I did say I’m not a professional!
I am wondering if anyone knows what’s going on with JAAA? I know JAAA had a big influx of cash recently and that the funds recent distributions dropped, but I have not dug up any other info.
thanks in advance.
Also wondering. A drop in distributions in a fund like JAAA that deals in floating rate debt is not a surprise. However, it was a pretty sharp drop-off (~25% vs previous 3 months) and seemed steeper than comparable funds. I am wondering if it was a one-off event or something else (One-off is the most upvoted consensus of commenters on The Other Website.)
CLO’s are a hot asset class now. Don’t know anything about a big cash influx, but given the bump in NAV that came with the dividend cut, I wonder out loud if CLO’s are getting priced up. (So ETF disty rates will be lower.) That was the suggestion on TOWs: JAAA is a total return ETF, not an income ETF, don’t worry, be happy.
In any event, I am wait and see on CLO ETFs for a month or so, watching how lower rates filter through their CLO portfolios. All the above, simply idle speculation. JMO. DYODD.
JBBB dropped almost the exact same, a little over 19% this month. It is 95% IG (Baa to A), higher div too. Own both for parking cash – importantly, price slope is upward, so not sweating them at this point. Also using CLIP, SGOV, and USFR.
ANG-A
American National Group Inc. full redemption on February 24, 2025 of all the 16,000 outstanding shares of its 5.95% Fixed-Rate Reset Non-Cumulative Preferred Stock yet trading at $25.47
ANG-A dividend is somewhere around 52 cents. The normal ex-date would have been Feb 18 but didn’t happen, so I suppose a slightly higher dividend will be paid at the call. If you buy at 25.47, you make a few (digital) pennies.
https://www.sec.gov/Archives/edgar/data/1039828/000104746919006365/a2240108z424b2.htm
“during each reset period, at a rate per annum equal to the Five-year U.S. Treasury Rate (as defined herein) as of the most recent reset dividend determination date (as described elsewhere in this prospectus supplement) plus 4.322%”
They have probably announced the rate, but here is how it was calculated.
I think I mentioned this before but from IR: “We are redeeming these shares February 24th. You will receive $25.5059 for each share you own.”
This is not politics, it’s economics.
Anyone thought through the impact if “One Big Beautiful Bill” consisting of
$2.0 trillion of expense cuts plus a $4 trillion increase in the debt limit paying for $4.5 trillion of tax cuts
passes?
Impact on perpetual fixed rate securities?
Please don’t initiate a political probability discussion.
Westie-
I’m confused about the tax cuts. Aren’t they mostly an extension of the current cuts and therefore would represent no change? Are the $2T in cuts specified?
I’d think the biggest market reaction would come if the cuts aren’t extended.
rocks
Talking about:
– Extending 2017 (biggest -no change)
– Eliminate SALT (new)
– No tax on tips (new)
– No tax on Social Security (big new)
Dropping tax rate on business to 15 to 19%(new)
Westie, I like working out probabilities like chess, what happens if this happens or that happens gets you way out in the twilight zone. So this is a little beyond me. You can’t take in the results of less bank oversight, less oversight of wall st. Neutering the consumer protection, agency, will it cause higher unemployment or lower. Less or more consumer spending. Turning your overseas markets against you . All this affects what you’re talking about and so hard to say what will happen.
Charles
Totally agree with your comment.
BUT
If ALL the variables are moving around unpredicably, shouldn’t that affect one’s enthusiasm to sign up for a perpetual fixed rate security?
In my case, I’m preferring short-term maturities (2025-2030) in both preferreds and bonds (65%), high div, low P/E commons, (15%) and cash.(20%)
Westie, I totally agree. Why I recently sold my 5% perpetual that was yielding about 6% in the financial services sector that I had bought around 7.4% yield on cost. I lost the yield but kept the capital gain. If I’m going to hold a perpetual giving me 6% I’d rather be holding a utility.
I worry about anything ag related because as a business the American farmer has been producing more than we use here and actually sold more crops as export and it drove up the cost of bread here as this limited supply in the domestic market so it drove up costs. Now it’s possible they get hit with a double whammy of completing in the world market and flooding the market here driving down the cost to consumers. If so, I will be glad to take it but the farmers will not like it.
That last one (tax on Social Security) is a big one. Long over due. Yes, I’m drawing right now so maybe I’m biased. My beef is based on the automatic tax increase they stuck us seniors with when they made Social Security subject to possible taxation back in the 1980’s. That exclusion they stuck in the legislation wasn’t indexed to inflation. This insures that more and more of your benefit gets taxed as inflation requires you to draw more and more of your other retirement (IRA’s). A complete rip-off in my opinion.
If SSI had been even partially invested in the market instead of wasted on general fund spending, we’d have no crises in the program.
Richard I’ve told my story before. All depends on where you are at in life and the point the economy is.
I have heard the big bankers like J P Morgan saying and trying to talk the politicians in their pockets into investing SS In the market you think the market is on steroids wait until after the asset managers and bankers.
Then when it all comes crashing down don’t expect to get your SS benefits.
My parents had SS and my dad’s union retirement from GM.
Then 2009 hit the market in the middle of their retirement. The stress they went through when the 401 k ‘s fell by 50% made them glad they had a little income from SS that was separate from The GM bankruptcy and the market loss.
As a retired person I don’t want all my retirement sitting on Black on the roulette wheel in the casino market.
I learned from what I saw and the stress to not be in that position.
I don’t want to see these vultures circling the Social security honey pot.
CM –
The mantra I keep trying to tell myself is:
diversify, diversify, diversify. I think it’s hard to know what types of endeavors will ultimately “win big” or break even or “lose big” in this fast-changing world. So certainly don’t put all your chips on black … spread those chips around at least a little bit…
I’m in pretty good shape – decided to go ahead at take SS at age 64. Since I paid max in for more than 25 years, I get about $3300/month and that I do not need. I’m balanced with about 25% of my income from SS, 25% from pension, and 50% from investments. I can get by with about 50% of the total were something go away. Part of it was good planning and part was just plain old dumb luck!
yazz, I think some of it is plan dumb luck. I’m in the same boat as Westie with 20% cash now and I just cancelled a gtc order last night on a BDC common. The valuations are so stretched right now. I can’t be everywhere watching my holdings and open buy orders.
The market seems unreal right now with COST assigned a stock price at 68 times earnings and WMT at 42 P/E
We need the basics like food, shelter, utilities and these are finally trading around a 10 to 12 P/E I certainly don’t need Bitcoin.
Charles,
You are missing out. Don’t you realize Buttcoin is the most perfect asset even invented?
What is your problem, dude? Why can’t you see that El Salvador and the Central African Republic with it’s 11% cellphone penetration rate are way ahead of the US?
On another note, I used to read R/Buttcoin on reddit
Don’t forget Bhutan – https://finance.yahoo.com/news/bhutan-cashes-33-5b-bitcoin-081756733.html
Interesting muni for residents of no or low state income tax state:
51779aag4 6/28 $395k offered at 93.235 4.75% YTM , higher YTC at 103 .tax free.
Completely illiquid .
Summerlin 22 (las Vegas Hughes Corp) Special Improvement District 816 As of 6/30/24 ,
$107 m of approx $150 mill in improvements are complete, land is sold to quite a few merchant builders, no delinquency. There are approx 4.2 mill in bonds falling due including these by 6/28 with a reserve of approx 2.2 million.
https://emma.msrb.org/P21838301-P21408945-P21851330.pdf
I have a small bid in , violating my decision not to buy munis till a tax bill comes through, but I think the yield at 92 is higher than a taxable yield.
I see little risk. I may pay up. This looks like a single trade done with a dealer.
oopsie this is a 2.5 coupon so ~7 points are taxable
This is offered at 5% today. The Seller looks to have paid 91.25. I’m bid for a small piece at 91.55
Seeking Alpha – I’m curious – SA has finally cut me off completely from free access, so I assume most everyone else is too, right? Quite honestly, I’m more likely to just up my voluntary contributions here than to subscribe there, but do most III’rs subscribe to SA as well? I find I wasn’t reading many articles these days anyway, but I do find value in the timely transcripts they post to company quarterly reports, so that would be my main reason for subscribing now if I do. To me I think what they’re doing overall is just making themselves more and more irrelevant.
No problem with free access on S.A.
2wr, I have a paid subscription.
I use it for those conference call transcripts too, though I can get them a day later for free, on yahoo finance (Motley Fool, and Thomson Reuters Street Events). I also like the reviews on IPO issues (by Arbitrage Trader), and just to see both bullish and bearish views on a company. I certainly use III more than SA, though.
thanks mbg…… since I’m hardly timely on reading the transcripts, just being notified by SA that they exist might be enough.
2WR I signed up with SDS over on SA and cancelled before the 2 weeks trial was up. I found it was not useful at least for me. I was blocked from posting on the forum as I wasn’t a full member. I am not a spread sheet person having never had to use it. I have had to for my last job to calculate costs and weight for shipping but I had a template I followed. When you have 24 or more columns that is just too much useless Info
I prefer someone who takes all the squirming worms and lays them out in a straight row and gives me a condensed version.
As for SA, all I see is articles being promoted on the front page that are all sunshine and daisies and no concerns about clouds on the horizon. By the time bloggers there say it wasn’t their fault the investment or the market dumped it’s too late.
I’ve known many people who make a living off financial subscriptions offering their “insight” and “wisdom.” My experience is they are all full of it, you might as well have monkeys throw darts at a dartboard with stock symbols. Ask yourself this question: if they know so much then why do they need the income from their subscription model?
I subscribe to SA. There are a few contributors I find useful regarding common stock picks, which probably make up 15-20 % of my portfolio. Among them are Bert Hochfeld (tech), Long Player (energy), Pr. Stk. Trader, Leo Nelissen (macro outlook). I also enjoy the comments and find them useful as are the quarterly conference calls. Most of the contributors are just cut & paste hacks and I ignore them.
Whidbey,
Long player is good and PST is good but I look for what he has to say about stocks that I m not interested in trading. Leo is interesting. I believe he mentioned he is about 30 years old and I like the way he looks at investing. He is starting young and taking a long view of holding and has worked up some model portfolios for income and growth. I take what he has to say from the view he hasn’t been through the 2021 tech crash, or probably invested during the GFC.
What I mean is he is conservative but he has time to recover if some of his investments don’t work out. So I just would keep that in mind.
Charles—I’m definitely on the same page regarding Leo’s youth. He definitely hasn’t lived through a bear market. However, his big picture focus is appealing. Like anyone else, he has his pros and cons. It’s up to me to take with a feel is valuable and cast the rest aside—which is more than I can say about most SA contributors.
Sir I agree and Leo. Does like to answer in the comments section. Myself and several other people suggested they would like to see a fixed income portfolio instead of a growth one and he said he would work on putting one together.
That alone I give him respect for being willing to put himself out there and deal with those anonymous posters that are rude and feel boldened to go over the line sometimes.
SA cut me off a while back too. Don’t miss it very much. Just too much chum and idiocy with diminishing volume of useful info.
How about a new Anxiety Dump page where I can post all of the nonsense running around my brain…like this, which I texted to a friend yesterday, “Is this the day the indexes start rolling over?” Or, uh oh, there’s a bearish divergence between SPX and the NYSE A-D line. Can’t have that kind of sweaty schlock mixed in with the legit stuff, right?
Both good names, r2s – Anxiety Dump and Sweaty Schlock.
Soon after starting this, though, I can see Tim and the IT team start posting about how every few hours they reach the max posts and have to delete so much stuff so often.
Does anyone know anything about cobalt mining? Ordinarily I’d beg off on a private offering to develop a cobalt mine in Australia but the promoter is someone I know and he advises on mining for McKinsey in Australia.
I’m sure this is a speculative but I’m” betting on a horse” if I make this investment.
The ‘kid” is 37 and very smart–full ride at Duke, Yale PHD in ….music theory. so perhaps he’s just hollowing out the mine to create a symphony hall competitive with the Sydney opera.
I do like the COLOR of cobalt. Not as much as cloned dogs, though.
Lt, I know less than nothing. Minerals was my hobby since I was 5yrs old. I started my major in college in geology then switched to forestry because of the math. I owned stock in a nickel miner in Idaho for a while back when everyone was saying it was an important metal.
Just Googled Cobalt and there’s an interesting article about a cobalt mine in Idaho. Be open minded, but read between the lines. Time it takes, multiple money raises along the way to first smelter run, dilutions of original investors from additional financing etc.
A mine is a hole in the ground and you can get the shaft.
My advice after I have invested in lithium mining and gold mining is wait then get in the investment when it looks like it is ready to process the first ore
Forgot to mention the article I referred to was by NPR
LT,
I enjoy reading your posts. To start to understand investing in the mineral world try googling “Lassond curve”. I second CharlesM’s statement about a shaft…
Haha – Why not stay home and lower the risks? https://www.thecaverns.com/about
LT,
Jervois Global, an Australian company, opened a cobalt mine in Idaho. They closed it when the price of Cobalt dropped to about $15 and could not profit it at that price. The price is now down to $11/lb.
My small starter investment in ETF ION that invests in cobalt, lithium, and nickel mining has been a big loser for me in the past 2 years.
Dan, my nickel stock was exactly that when their mine in Idaho closed. That was my first experience about 10 or 12 years ago. Funny, I think that was another one where I bumped into Bea before I really knew her. She follows mining stocks better than most people I run across.
lt
Personal bias….
The smarter the advisor of a “great deal” is, the more distrustful I get.
I much prefer the lowly educated experienced guy who says “might work out, might not” but has a history of success.
TSLX BDC FYI – Sixth Street Specialty Lending, Inc. Prices Public Offering of $300.0 million 5.625% Unsecured Notes due 2030
https://www.bdcinvestor.com/tslx/202502/sixth-street-specialty-lending-inc-prices-public-offering-of-300-million-5-625-unsecured-notes-due-2030/
Is this company related to the 6th Street that acquired Enstar ESGR and will be delisting the ESGRO preferred? (“My, my, my. Once bitten, twice shy.”) JMO. DYODD.
Something on the more speculative side:
https://www.sec.gov/Archives/edgar/data/1644903/000143774925003756/ycbd20250212_pre14a.htm
YCBD plans to convert its preferred stock YCBD-A on a 1:13 ratio in April. The record date for preferred stock voters is February 21st. Given the price of the common stock at $0.50, a 1:13 ratio gives the preferred stock a fair price of $6.50. Currently trading around $1.50, might be a good buying opportunity with some play money.
I sold MTBA, which I bought as a cash equivalent a year ago. I don’t like the tail risk. I replaced with EPD 29379VBM4 $1000 junior floater, CY ~7.5%.
you think the MBS spread is going to widen again? I’m still betting it gets narrower and in the next 12 months mtba is 51.5 or 52 again and then sell…seems like epd could call this at 7.5. I really like Bassman and Greene and am convinced by a lot of their ideas.
jbosch-
I liked MTBA until the founder mentioned in a recent video the possibility of serious downside. I think the CUSIP will yield better than MTBA in a rising or falling rate environment, and I don’t see the same tail risk. If it’s called, oh well.
I’ll look for the video. I’m about 5:1 short duration vs long, and mtba is short enough duration that the gyrations don’t bother me. the f2f bonds that hug par have a certain appeal, but I’d like to get a nice lick on mbs is rates fall. If long rates rise, I’m just gonna buy more duration. Bassman makes a great point that anyone who buys a legacy mbs today is a doof, but the 5.5 and 6 coupon ones are fine risk reward for me…if any spread is gonna go nuts its all the junk in the high yield etfs, so I bought some hyg puts and like the pff puts if pff gets back to 33.
fwiw..you DON’T want rates to fall if you own 5.5 and 6% mortgages
if rates fall either one is going to get called, but mtba has better liquidity and I think I can squeeze 4% out of it if rates fall since they sell the forward contract (5.5s are 98 bucks and rocks had to pay over par for a currently callable)….I have quite a few bets going each direction at this point and an oversized sgov slot. rocks choice seems nice and risk sensitive and I like EPD and have thousands of units of the common share and am fine with all the duration built into that security.
TECTP – Not a holder but I check it on occasion. A Nasdaq page shows next dividend as ex 02/07 and payment 02/18, details presumably from Tectonic. Their IR pages, however, don’t report a February 2025 dividend. The same pages are light on company information but do include 8-K’s for the 2024 quarterly common and preferred dividends.
I go to issuers’ websites for checking current dividend amount, eligibility and payment dates. For cases like this one (and I may have missed the reporting) is there a good alternate resource for current dividend particulars? TIA
I don’t know what using another third party website gets you other than getting equally (un)reliable information. For original/best information, I would use either a company website or the SEC website. There was an 8K filed January 29, 2025
Try SEC dot Gov
Look for Edgar
Do a search on:
Tectonic Financial, Inc. (TECTP) (CIK 0001766526)
JMO. DYODD.
done did – no gots…….. the 2025 filings show nada
Bear and everyone who responded – Thanks for your information/comments. This one must be a one-off. Tectonic’s website includes 02/06/25 8-K announcing a new director. Nothing on the 01/28/25 board of directors dividend authorization.
I’ll add Edgar and SEC.gov to the tool kit.
https://finance.yahoo.com/quote/TECTP/history/ concurs on x-div date while showing a div of .31…. However, they do round off so that’s not to the fraction of a penny accurate. Regarding payment date, it was scheduled for 2/15 and with 2/15 being Saturday, payment would default to the next business day. And with Prez Day being today, 2/18 makes sense.
Tectonic Financial, Inc.
>>>>> FROM RECENT COMPANY 8-K <<<<<<<<<
DIVI INFO BELOW <<<<<<<<<<
Texas
(State or other jurisdiction
of incorporation)
001-38910
(Commission File Number)
82-0764846
(IRS Employer
Identification No.)
16200 Dallas Parkway, Suite 190
Dallas, Texas 75248
(Address of principal executive offices) (Zip Code)
(972) 720-9000
…….. Apology on respond posting FORMAT to Answer ………
(Registrant’s telephone number, including area code)
Trading symbol(s)
Series B preferred stock, par value $0.01 per share
TECTP
The NASDAQ Stock Market LLC
. . . REGARDING the DIVI on TECTP for FEB 18 , 2025
On January 28, 2025, the Board of Directors of Tectonic Financial, Inc. (the “Company”) declared a quarterly cash dividend of $0.3036060 per share on the Company’s outstanding shares of 9.00% Fixed-to-Floating Rate Series B Noncumulative Perpetual Preferred Stock. The dividend is for the period from, and including, November 15, 2024 to, but excluding, February 18, 2025, and is payable on February 18, 2025 to shareholders of record as of the close of business on February 7, 2025.
On January 28, 2025, the Board of Directors of the Company declared a cash dividend of $0.10 per share on the Company’s outstanding shares of common stock. The dividend is payable on February 18, 2025 to shareholders of record as of the close of business on February 7, 2025.
Well I’ll be darned…. Good catch, Jim. I could have sworn I checked that one.
https://www.sec.gov/ix?doc=/Archives/edgar/data/1766526/000118518525000054/tectonic20250127_8k.htm
FWIW, the divi on my massive 100 shares showed up this weekend in my WF brokerage account
Fidelity posted it on Fri for the 18th- nice.
At SA, Arbitrage Trader has an article on the risks of PMT and the new PMTV.
I’m at a Institutional Money Management conference in Europe and many of my colleagues were discussing this troubling issue of fraud in the ACAT system
https://thefinancebuff.com/brokerage-account-acats-transfer-fraud.html
Happy Presidents Day, Azure
Yeah- I worry about that- was able to lockdown at Fidelity, but it looks like I have to call Etrade to do it – not a big problem.
FWIW- found this on a search- this guy tested the system at Fido:
https://www.bogleheads.org/forum/viewtopic.php?t=382555#:~:text=Etrade%20offers%20the%20most%20comprehensive,cash%20transfers%2C%20bill%20pay..
Azureblue…… Jeez, that is scary stuff in that link! Hope I sleep well tonight.
Something else to worry about and that needs to be addressed it sounds like.
Staying with my soon to be 106 year old father for the week at his coastal cottage. He’s got the week all planned out for what we are doing……
For email security I recommend looking at Protonmail.com. They have end-to-end email encryption.
On a completely personal note, I ordered another clone of my original dog on Friday. VIAGEN PETS , the only company in the US that does this, offered me a $10,000 discount . I must be the only member of the FREQUENT CLONER CLUB.
The first cloning, 8 years ago, instead of producing 1 copy , yielded 10 identical dogs. I kept 3 and I tell people the other 7 were very tasty.
Viagen used to be part of a public company that was good at lighting money on fire.
— Wouldn’t puppies have been cheaper? With 50% or so common genes, a dozen or so pups would have offered a more than an equivalent “single-dog experience.” Kind of like DeepSeek vs Nvidia, string together enough less speedy chips at a lower price point and you get the almost same result without the expense of building a new nuclear plant in somebody’s back yard.
— I respect your choice but personally I would have looked for a healthy layer or two wandering around an otherwise decimated chicken coop, offered the farmer fifty cash on the spot and done an IPO. CALM – Up 70% in 1 year. JMO. DYODD.
BearNJ, For one thing you need a dog that’s capable of having puppies. We didn’t neuter our small dog, but multiple veterinarian clinics tried to push us to do it. TBH, I didn’t see how removing what nature made is “fixing” them.
My city requires spay/neuter by 4th or 5th month.
As far as cheaper, I could have gotten a puppy much cheaper , but regardless what you’ve read all 10 of the clones have identical base personalities regardless of the family they’ve grown up with.
It’s really interesting to have little kids talk their parents into taking them to the park in hopes of interacting with my 3 beagle/cocker mix dogs. These guys demand people play fetch, and seek out random children to befriend . Hearing kids exclaim “ they’re beautiful “ makes my day
That is wild. Do the dogs have any health issues? Are they different from one another?
We had a dog that lived quite some time and was hard to say goodbye to. Had we known it was accessible maybe we would have considered it. Science is wild.
Tim, sorry for the orthoganal direction, so this will be my last comment on the clones for now:
At age 8 , the most active of the three dogs–the one that feels it’s her job to retrieve a ball– was having a routine procedure and the vet tech noted a small mass . A needle biopsy yielded a diagnosis of a very small anal sac tumor. Making a long story shorter, I had a veterinary surgery specialist and veterinary oncologist team and the tumor was removed , followed by a course of chemo. That took about 2 ounces off the dog and 5 inches off my wallet.
As a side note, dogs typically don’t have any recognizable side effects from chemo.
Yield, if you contemplate having the cloning performed I recommend having the sample taken well before death as I did. If you wait until the animal dies, you then have to out the dog in your refrigerator until a small skin punch can be done.
Last I recall , Viagen sends your vet a kit, the skin sample is preferably taken from the tummy and sent to UC Davis for genetic typing. Eight years ago UC Davis would send the sample to Viagen’s lab in Rochester, NY. The company won’t tell you exactly where the lab is located even if you decide to pick up the puppy(ies). You’ll also have the opportunity to adopt the surrogate, which I’m told is a dog that would have otherwise been used in lab testing and is adopted once the surrogacy is completed.
I had checked out cloning when it first came out and was being done in Seoul.
It just so happened my dad wanted to revisit all the places where he was stationed during the Korean War. Sooam Biopharm in Seoul wanted $100,000 (2x Viagen price) and is run by a doctor who was once criminally charged with stealing technology from a university. As it turns out–and don’t quote me–he was licensing Viagen’s cloning technology.
It took me 7 years of thinking about cloning to decide to do it.
The original dog had traveled with me worldwide, including a Summer in Israel.
If nothing else, the 3 clones provide me a basis for talking to beautiful young women who would otherwise have little reason to chat with me.
The local CBS affiliate pestered me enough I allowed them to be featured here, without me appearing on camera at all. There’s another woman in this video that cloned her pet and puts all her dogs in dresses. The dogs appear on the face page and at about the 2:49 mark.
https://www.youtube.com/watch?v=RRU5XBgUh34
For those investors that like interval funds. Still not for me but I am often wrong, seldom in doubt:
https://www.bloomberg.com/news/videos/2025-01-22/happy-with-interval-funds-cathie-wood-video?sref=3yhq6DEX
This morning, Fido has already posted the call $ & div on FTAIO- dated 2/18 –nice. Got the correct div too (0.487)
Sold off the last of our EFSCP Friday. Sold 62 shares Jan 30th at 20.28 then the price dropped I wanted to sell the balance but when I went to change my ask price Fido Nanny wouldn’t let me. I cancelled the balance of the open order and tried to place a new GTC but couldn’t. I had to call in and get a trade window open. I sold 188 shares at 19.96. Yes, if I had let it go it might have filled higher, but the total volume was only 1,280 shares.
I have held this since 2023 at a cost of 16.86 and collected several dividends so not concerned about missing the next dividend. Whoever is the dividend chaser is getting 6% on a par 25.00 perpetual preferred paying 5%
They risk a capital loss if they try to sell after the dividend date.
My loss was the 7.5% return on investment which will be hard to replace.
Tried to sell LTSAP last week mistakenly submitted a Buy order instead. Filled at $19.00 a dollar more than where it was listed. Sold some today for $20.50. Sometimes you get lucky with your blunders. Anybody know why it’s suddenly going up after several years languishng in the dark?
How close is it getting to the call date?
It’s always 30 days away……
Ha ha 2whiteroses. I was being lazy. This is the perpetual preferred for Oasic formally Landenburg Thalmann.
I only own the BB LTSH & LTSK
No call date on this perpetual. I don’t see why this is so cheap? The company “OSAIC” is responsible for this preferred, and as near as I can see it is a profitable outfit with a long history. Should be able to command a lower interest rate. Anyone have any ideas??
martin g,
I tried to sell LTSAP yesterday at Schwab on TOS. Received a message I had to call into a broker. Online for 10 minutes with broker who had to call into another trading desk. Finally told I could only put in a market order, and also no aon, or limit order. Since I can’t buy more I guess I’ll keep this one along with my KTBA.
For anyone interested in munis, I suggest subscribing to emails via Munios.com . You’ll see preliminary OS there, but the emails are great to know what deals are coming soon
MUC, Blackrock’s California Munis yields 5.9% tax free and trades @ 10% discount.
Depending on your tax bracket, this is much higher than most securities in III.
If you assume rates are not going to rise significantly while you hold MUC, isn’t this too good to be true for CA investors? Even better, if rates begin to drop, then MUC will start to raise in value too.
Besides the interest rate risk and the risk of Blackrock going bankrupt, what are the risks here?
If you are in CA, why would it be wrong to say “just put your $ in MUC and forget about prefereds”?
37% leverage and Wildfires may be a risk to some. I am not sure how you figure out geographic concentration within a CA muni bond fund. SCE preferreds pulled back quite a bit since they were in Wildfire area.
SCE being investigated as the proximate cause of the Eaton fire in Altadena may also have something to do with it. Huge liability exposure in a state that is NOT friendly to utilities.
https://worldlawyersforum.org/news/california-wildfire-law-utilities-at-risk/
Citadel,
The website you posted is for plaintiffs lawyers. they are always looking for the next opportunity to sue someone (anyone) to generate fees.
the “inverse condemnation” concept is simply a risk allocation rule. If there is a fire caused by utility equipment, someone has to be responsible for the damages. In CA, the concept says that the utility is on the hook (even if they weren’t negligent). The alternative would be to say that the victims are on the hook (home and business owners, etc.). By making the utilities responsible, it concentrates liability in one place – so utilities can insure against it, and when things happen, the victims can be dealt with in a group. Not a terrible system – just different.
When utilities cause fires, they get hit with lots of claims/lawsuits and the plaintiff’s bar all try to jump in early to “get a seat at the table” when the victims compensation fund gets worked out (if there is one) so they can siphon off a chunk of the victims’ money.
When utilities are at fault, they sometimes go into bankruptcy, but they (so far) have never really been hurt very much. PCG (biggest CA utility) killed LOTS of people and caused LOTS of fires and has been through BK twice in the last 10 or so years, yet their bonds/preferreds barely moved through the BK process. The State goes to great lengths to protect the utilities – including setting up an insurance”backstop” fund and forcing victim’s to accept compensation funds that were bankrolled primarily in PCG common stock. So, based on recent history, I am not very worried about EIX/SCE about this fire.
EIX may have caused a fire, but there is no real evidence yet. Most of what I have seen from the plaintiff’s bar is speculation at best (“someone said they might have seen something”). Cal. has pretty good fire investigators. I think they will nail down the cause, but it will take time.
FWIW…Today is the last day one can purchase/sale closed end fund MUI (~11.75) before it converts to an open-end interval fund at net asset value (~13.24) DYODD!
I’m looking to buy on a big down print at the close…if there is one
Oh joy- an interval fund:
MUI Shares held on the Conversion Date will be redesignated as Institutional Shares of the
Interval Fund (“Interval Fund Shares”). The Interval Fund Shares will not be listed for trading
on any securities exchange and a secondary market is not expected to develop for the
Interval Fund Shares. As a result, an investment in the Interval Fund is not a liquid
investment. Shareholders will generally only be able to sell their Interval Fund Shares
through the Interval Fund’s quarterly offers to repurchase between 5% and 25% of the
outstanding Interval Fund Shares. The Interval Fund currently intends to commence the
initial repurchase offer in the second quarter of 2025.
Gary, I haven’t read the fund details. One thing investors should understand is a possible gating mechanism. If the interval fund receives redemption request exceeding limit, the investors will receive only a pro rata share. Morning star states the current expense ratio is 2.49%. Considering the expense drag, I try to understand why an investor would not simply buy a low fee index fund. Most give limited dividends so capital appreciation alongside liquidity is achieved. I must be missing something. (Yes, the market can tank but these HY munis will certainly suffer alongside.) And at least with the index an investor has liquidity.
Just a big headache- much like Fido nannyism — we”ll set the terms thing.
That nannyism is why I decided to sell all my preferred stocks. Only holding $1000 corporate bonds now. A little less yield but easy to buy and sell. Sold the last of my AGM preferred on Wednesday and I had to do it in 100 share increments as Fido wouldn’t take the full 800 share position order.
Worse than that…
https://www.blackrock.com/us/individual/literature/fact-sheet/mui-municipal-income-fund-inc-factsheet-us09253x1028-us-en-individual.pdf
Gross Expense Ratio: 3.98%
But Blackrock in their benevolence, has starting waiving the fees because the performance has been so bad.
https://www.blackrock.com/us/individual/literature/press-release/5-20-24-cef-muni-waiver.pdf
I bot, in my IRA to boot!
Will be interesting to see how fidelity handles it in my account, hopefully no large holding fees appear, like they do with some foreign issues. 1st owning an interval fund!
Justin, not sure how relevant that 3.98% is going forward.
Per jerrymac, the interval fund does not have leverage.. and the majority of that 3.98% is from interest expenses. Blackrock charges 0.55% for management fee, so I would be shocked if the total expense ratio for the interval fund is greater than 1.5%… I could be very wrong on this assumption, it wouldn’t be the first time I underestimated sneaky fees.
Thanks to jerrymac for reminding us about this event yesterday.. I heard about it when first announced, then proceeded to forget. This was one of those rare instances where I was able to wait and still take advantage of getting in before a large discount before it converts. My guess is that the uncertainty of the interval fund gave many pause.. I am willing to pay the “tax” of waiting with hopes of redeeming within 2 years.
https://www.blackrock.com/us/individual/resources/regulatory-documents/stream-document?stream=reg&product=MUI&shareClass=NA&documentId=2032618%7E2138853%7E2098032%7E1967739&iframeUrlOverride=%2Fus%2Findividual%2Fliterature%2Fannual-report%2Far-retail-muniyield-six.pdf
Apologies for an added post.. I should have read the prospectus for the new interval fund before posting.
Management fees will be 0.9%.
Leverage is permitted up to 50% of net assets.. but I’m not exactly sure if they will take advantage of this as there isn’t much leverage in the fee breakdown example.
Page 31 shows a fee breakdown.. a total of 1.24% for the shares we will receive, the institutional shares.
They expect to be able to redeem a minimum of 7.5% each quarter.
My main question at this point is whether my I can hold and request redemptions via my broker (fidelity) or I will have to transfer to a “approved” distribution agent.
Has anyone confirmed whether fidelity will allow us to hold and redeem this, and any associated fees?
https://www.sec.gov/Archives/edgar/data/1232860/000119312524238194/d863533dn2.htm
Interval NAV fund ticker MUNEX. Given new structure there will be no leverage. Additionally, high yield muni’s will be within scattershot with “anticipated yield” ~6.00% Place your wager…or not… Great weekend to all!
distro isn’t covered (I still like Muni closed end but prefer OIA)
It looks like OIA is charging expense fee on their leverage. An advantage of spending a few decades investing, one doesn’t understand but actually realizes cumulative fees destroy investment gains. I don’t mind paying fees for good advisors but I don’t pay a fee for leverage. I only glanced at OIA so perhaps it isn’t charging.
I don’t mind paying the fee to get the liquidity (dealers give crap bids when I go to sell munis). The discount (kinda sorta pays the fee) and the ability to trade the discount/premium with the volatility from all the duration makes them fun. They also get pricing, coupons, and cheap leverage which I can’t get as a little fish; and I don’t want to hold individual junk munis. They don’t benefit from the flight to safety like long treasuries, but if the short end of the curve collapses and the fed cuts, they’ll be able to lever up and raise distributions because of the borrow short lend long effect… junk muni spread holds up better than you might expect. ..I usually sell if I get a year or two worth of distributions built into the capital gain and turned over OIA 6 times in 3 year (can’t do it with individual bonds). The fund can also generate returns buying and selling on the slopiest (??) part of the curve, around 14-16 years. Regular munis are also super expensive (115$ for a 5 coupon / OIA is paying 90 minus discount for the same coupon) and you can’t use them to hedge since they’re all callable. OIA covers most of the distribution and the other funds over distribute and cover %50 of stated yield (which, in my humble opinion, is why oia occasionally gets to trade at a premium while the others have persistent discounts). Muni market is weird and inefficient like preferreds…
OAI the CEF? Pretty low leverage cost for a CEF- nothing unusual- certainly not new. A few CEFs have no leverage.
the muni bond funds can do sofr plus x (50bps) since the assets are nicer than the cefs that have to sell the preferred shares…seems a lot easier than levering my own bond portfolio. if the short end keeps going down and leverage costs improve further, fund sees more upside / can lever up …nothing new just elevator up elevator down.
I never paid attention the Muni market in CA. That yield seems very high even with a discount.
I think this chart would discourage me from going all in on MUC:
https://stockcharts.com/freecharts/perf.php?MUC,PFFA
Leveraged closed end muni funds have had extended periods of poor performance. Additionally BLK has had many closed ends with questionable stewardship if you ask me. They come to market preaching expertise in mgtm. Lock in a big mgtm fee (which includes on the levered portion). Then….crickets. We’re on our own. And any leveraged investment is playing w fire.
So they may work but tread carefully.
Ray Dalio takes a crack at the US gov’t debt problem.
https://www.linkedin.com/pulse/how-countries-go-broke-chapter-15-16-ray-dalio-4oefe/
I stopped reading him when I decided his extensive research wasn’t so extensive. His predictions remind me of a religious leader predicting the Second Coming ….perilous times! ….last days!!!!
Seriously his stuff is written in a way such that if it occurs soon he can say he was corre3ct but if it doesn’t he can say it’s coming…
Looks like it will be at least 3/7 before Kimbell KRP furnishes their final 1099-div to Fido.
Not sure why the delay, since they have an 8937 posted with ( 93, 79, 100, and 100% ( first to last qtr) as the non-taxable cost basis reduction for each qtr.
Skye Canyon Improvement District 609: Las Vegas
517708wz2: 96.826 4.59% YTM June 2037 30 bonds avail, unrated
If you are in a no state income tax or very low state income tax state,
these would be a good purchase.
This development is built out and the risk of non payment of bonds is exceedingly low as a result. Debt is assigned to each parcel, and there is a nice reserve.
As a reminder , NV SID debt “runs with the land” and is not eliminated in a tax sale or foreclosure
I am not purchasing munis until the status of the tax exemption is clarified by Congress, but if I was unconcerned I’d be a buyer.
There is a declining premium call until 2027 (102 this year, 101 next) if individual homeowners pay off the SID debt.
I did that with my first home merely because I did not want to make a second set of “tax” payments,.
Despite my fears on the muni exemption I’d be a buyer at SOME price. I got a piece of a SIUD late last year at 99.75 and just received a partial call at 103.
I really like NV SID debt because there are a limited number of buyers .
You can look at the parcel collection status via EMMA. It takes a little searching but it’s in the City’s financials even though they are not a guarantor.
Losing Trader, just something to do while I am waiting on the phone with Fidio nanny. For years as I traveled I looked at development in places like alongside the freeways and in towns. Now as I do call outs to customers I find in talking to them where the areas of growth are. I don’t know exact areas in LV but both Henderson and Las Vegas are growing. Reno is growing Eastward and the surrounding areas of Carson. The indications of this are national distributors buying out mom and pa building distribution centers or opening new branches. I was told in one conversation development is moving North of Phoenix towards Flagstaff.
Henderson has “blown up” with the Ascaya development on the side of a mountain having hundreds of $5 million + homes. A lot on the side of the mountain is more expensive than my custom home at the bottom of the mountain, and I still have a half-strip view. Unfortunately I’m in a neighborhood of mostly Italian -style homes and those have not been in demand…I guess fortunate for a buyer. I’d like to sell and move to a smaller home, but I can’t sell; for a price that would allow me to buy or build a new custom half the current size. It’s mostly wasted cooling bills that bother me. I did get my first $1k gas bill for one month this Winter, and electric runs $1500+ in the Summer with 4 units totalling 19 tons
The SID developments with bonds available are all newer homes .
CIM-A . . . 8%-er…. Fixed Divi . . . callble since 2021 any board holders w/ thoughts.
I prefer CIM-B higher rate at current float, callable but that wouldn’t be a loss. Only advantage of A is possible upside to par, or if rates ever drop a huge amount again. I also have CIMO for 9% term another 4.5 years, better for several reasons except no price upside.
good article on S/A regarding this and baby bonds (cimn, cimo) it recommends the baby bonds..I just bot CIMN at 25.02
the cimn/sjnk pair traded near 2 sigma cheap on 1/31 (ex .56 dividend) and is is currently near .5 sigma cheap
A Preferred Share Worth Scrutinizing From Chimera
Dec. 07, 2024 7:10 AM ETChimera Investment Corporation PFD SER A (CIM.PR.A) Stock, CIM StockCIM.PR.B, CIM.PR.C, CIM.PR.D
tks for show
Holding B, and CIMO ( like the notes more- but they do mature)
FWIW. Inflation. One firms view of the numbers.
https://wolfstreet.com/2025/02/12/beneath-the-skin-of-cpi-inflation-worst-month-to-month-acceleration-of-cpi-since-aug-2023-on-spikes-in-used-vehicles-non-housing-services-food-energy/
Re Active Preferred Floaters … with near term further Fed Rate Cuts low till late Summer / Fall . I am focused on non-premium Qtrly Actives.
Term SOFR has come down off the mid yr 2024 levels of 4.50%-ish to the current area of 4.30% area. . . should provide reasonable resets.
Just a thought for the snow-bound !
Jim