The Bounce That Refreshes

Even though we don’t worry too much about the day to day movements of our holdings it is still nice to get a bounce after some days of moves lower.

Today we have only around 90 issues AT or NEAR new 52 week lows compared to 200 yesterday.  Maybe this holds and maybe not–but just the same our portfolios are up nicely today.  We have the new ‘near lows’ page to monitor the overall $25 preferred marketplace which can be found here.

If you are holding any of the Maiden Holdings (NASDAQ:MH) issues you are looking very red today with all of their preferred off a bunch as shown here on the share price loss page.

30 thoughts on “The Bounce That Refreshes”

  1. I was in GSL preferred for a while and thought I was doing really well because I had a nice yield on cost plus a fat capital gain. Then I checked the common stock and realized it had fallen into the penny stock range probably because this company had no E in their P/E. So I sold the preferred. Maybe it’s just me but I when the common is on such shaky ground, I lose confidence in the preferred.

  2. Another issue with a big bounce today is GSL.B. It is up $3.63 or 20% right now. Anyone know why? I see today’s trading range is $17.77 to $22.20. Any thoughts on todays movement? Thanks

  3. I had 11 bids in at market opening and not one is going to hit. One issue moved away by almost 4%. Terrible day.

    1. Bob, I continue chipping away on having more “lock down” issues… Added 100 more of PLDGP today. Have tried for 3 years fruitlessly and past 2 weeks got 216. Goes exD next week so its really a mid $59 purchase. Just will hold until 2026 maturity from this powerhouse industrial reit. Locked down a chunck of KTN at $29.40 this week to go with my nicer slug of KTH. I decided to zero in on some noncallables that mature in less than 10 years. Bought 400 UBP-H at 22.05 yesterday. Should have bought more. Always liked UBP preferreds but since the UBP-F got redeemed I have patiently waited for plus 7% and got it yesterday.

      1. Grid, Also picked up more KTH and KTN this week. Already hold UBP-G and nabbed some NISOP at 24.70, at which I wish I’d gotten a few hundred more. Unless something loco happens I’m considering these all as low maintenance LT holds.

        1. Good job, Alpha, you wont spend restless nights tossing and turning over holding those. I know I will sleep well holding them.

      2. All good buys. I’m now too heavy in financials so need to concentrate on some non-financials next week.

        But was buying stuff at +/- 6% SY and YTC that a year ago was 2-3%.

        1. Bob, you are seeing what I am.. I generally try to stay in decent quality issues. But the past year that stuff was issued deeper and deeper into 5% perpetual yield range. I just kept staying above 6% by piling into the few remaining ones that were mostly past call. Have done a decent job unwinding all that to avoid capital loss. And now rolling back into issues that have become buyable again. The market spoke and provided values…Just look at NISOP. This summer NI issued a private placement Series A preferred at 5.6% and lower kicker when it floats. This issue just from summer is offerred 90 basis points higher with a higher kicker to boot.
          But I still like having capital in term dated issues and that is where I like the earlier mentioned issues too. I also own a nice slug of CNIGO which helps fill that bucket too. The only financial preferreds I presently own are ALLY-A, FIISO, KTN, and SBNCM. Im certainly not anti financial though.

          1. Grid, yesterday was another “giving” day of the season. I had some municipal bonds called December 1st (sadly my highest muni coupon bond at 6.75%) so I added to my already overweighted position in ALLY.A @ $25.34 and used the rest of the proceeds to buy more monthly paying KYN.F a penny above par and will just wait the interest rate move until the short 4/15/20 maturity or until it’s called. Wishing all profitable investing, Nomad

  4. Tim,
    Thx again for your wonderful site.

    1. Have you thought of building a “near high” page (the opposite of this “near low” page)? I have found it useful to trace these to catch sell opportunities.

    2. Today for example, SOCGP has been trading wildly and I succeeded to sell some @ $33, and now the bid/ask is 27.29-37. Something weird is happening with this security. ANy ideas?


    1. Hi Daniel–sure why not–I will get it this weekend and get it posted before Monday.

      1. Tim,
        Thx! that would be very useful.

        Do you (or any of your enthusiastic readers) have any idea what is happening with this SOCGP today? It has been trading in a narrow range below $30 during the whole last year, and today there was this weird spike, with the highest trade @ $35 and now with an ask of $37!

        Thx again (to you and your usually very knowledgable commentators) for operating this wonderful and useful site!

        1. 2 guesses, it was the company buying (non callable and very little left) or a mistake. They do happen.

  5. Reasonable today. would be nice if I wasn’t getting hammered so much by SNHNL but I like where the companies REIT is focused (medical properties)

    1. Hard to make money on a day where most of my preferred are up (I own by SNHNL is down is down 0.76 and CTAA down a 1.00. And so the pain continues. I own preferred’s in 27 companies and these represent 8% of my holdings.

      1. SteveA – I see you are in SNH’s baby bond. While I do like the medical properties area, the RMR group has been terrible with shareholder value over the past few years and SNH is one of the properties they control. They completely demolished the value of GOV and SIR, which could have been fine companies. Currently, I avoid all of their issues like the plague.

        1. Steve A, Tagging onto kaptain lou’s comment, RMR is basically the poster child of external management companies whose interests appear to show zero alignment with shareholders. As kl indicates, check out the history of RMR-controlled SIR and more recently of GOV. If you want to get into government lease exposure check out DEA. If senior medical you may want to investigate VTR or WELL.

        2. Ah. Thanks. I exited GOVNI in Nov 2018 at a few pennies less a share than I paid for it profiting from the dividends. I did not realize this was the same group. Will exit when I can

          Thanks to both Kaptain Lou and Alpha 8 for the insights

  6. There is a nice directive in the Tao (paraphrase):
    “…why is the Sage like a muddy torrent? He stay in the center, learns patience and then can recognizes that the water will clear of its own accord…”
    Seems to be a perfect sentiment for this week! Mostly high quality adds.

    1. Joel–good thoughts–seems to reflect my thoughts – but it does take years of navigation to reach those conclusions.

      1. I really screwed that up since I just now re-read it, but progressing on a path, like investing, is the fun part. Number 15 in Tao is anyone wants to read the entire, very short wise text there.

    1. Hi SteveA–this weekend I will see if I take the ‘master list’ and add the sorting javascript and see what happens.

      This will be a pretty calculation intensive sheet–over 600 issues and needing to do an extra step of sorting may make it very slow–we’ll see.

      1. Thanks. of it doesn’t work understand. Appreciate all the time you spend on helping us. If one day you decide to make this a subscription fee site….count on my signing up

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