Leave a comment

47% RETURN: SELL?

February 19, 2019. Back in January, we sold Iron Mountain IRM for a very nice profit with the anticipation that IRM was setting up for a pullback.

Well, it IS declining. We will continue watching this 6.9% dividend payer and if our indicators turn positive, we will buy.

We are also watching Medical Properties Trust MPW for a possible pullback and sell. We have a STAGGERING 47% Total Return on this sucker and we do not want to lose this chunk of ‘paper’ profits. Once again, if we start seeing indications of a pullback, we are going to sell. We are NOT selling right now. You don’t want to get greedy in this racket: sometimes it is better to book your gains.

__________

Did you know that the Academy Awards show has DROPPED FROM 46 million viewers down to 26 million. Gee do you think it has anything to do with the crappy movies they dump out? Jus wonderin.

Infographic: The Oscars' TV Audience Falls To All-Time Low  | Statista

Ultra liberal fake news continues with their biased ‘reporting’. The evening news would rather talk about snow storms and plane crashes. As Trump would say, a disgrace. Read on:

It’s been two days since NBC’s exclusive reporting that the Senate Intelligence Committee has found no material evidence of collusion between the Trump campaign and Russia, and as of yet none of the three major broadcast networks (ABC, CBS, and NBC) have given it even a single second of coverage in their evening newscasts. Considering these networks have given the Russia probe a massive 2,202 minutes of airtime, their silence on this major development is deafening.

NOTE TO NEW READERS:  Before you buy anything we discuss here, GO to the Core Portfolio tab to see a CURRENT listing of holdings. This blog is designed for investors seeking income.

Go Here For “About and Links”

Read Full Article

A new poll reveals that 53% of California residents are considering leaving the Golden State because of the high cost of living.

GO HERE FOR FULL ARTICLE

Advertisements
Leave a comment

BUY FDUSZ. AND: 22 TRILLION-YEAH THATS WITH A “T”

UPDATE: We will sell CTL when it settles down, probably in a few days. It has been collapsing today.

February 24, 2019. Fidus Investment Corporation’s issued a new baby bond with the ticker: FDUSZ. They mature in 2024 and pay a fixed interest rate of 6%. We like this as it could be considered “investment grade”.  This is a very nice position and suggest you buy. Go to link below for full article. 

The current bid before the market opens is $25.06 and we would NOT pay more than $25.10.

Fidus Investment Corporation is an externally managed, closed-end, non-diversified management investment company that has elected to be regulated as a business development company, or “BDC,” under the Investment Company Act of 1940. This status provides our company with certain structural advantages, including public liquidity and an advantageous tax structure.

Our objective is to generate current income from our debt investments and capital appreciation from our equity-related investments. We were formed to continue and expand the business of Fidus Mezzanine Capital, L.P., a fund formed in February 2007 that is licensed by the U.S. Small Business Administration (“SBA”) as a small business investment company (“SBIC”).

https://seekingalpha.com/article/4240259-fidus-investment-corporation-6_00-percent-baby-bond-ipo-bdc

__________

New Book to be Released Shortly

Explosive new book lifts lid on gay priests in the Vatican

READ ARTICLE HERE

__________

The U.S. national debt is wildly out of control, and nobody in Washington seems to care.  According to the U.S. Treasury, the federal government is currently $21,933,491,166,604.77 in debt.  In just a few days, that figure will cross the 22 trillion dollar mark.  Over the last 10 years, we have added more than 11 trillion dollars to the national debt, and that means that it has been growing at a pace of more than a trillion dollars a year.  To call this a major national crisis would be a massive understatement, and yet there is absolutely no urgency in Washington address this absolutely critical issue.  We are literally destroying the financial future of this nation, but most Americans don’t seem to understand the gravity of the situation that we are facing.

GO HERE FOR FULL ARTICLE

Scroll Down For More

NOTE TO NEW READERS:  Before you buy anything we discuss here, GO to the Core Portfolio tab to see a CURRENT listing of holdings. This blog is designed for investors seeking income.

Go Here For “About and Links”

Leave a comment

ONE POSITION THAT IS STILL A BUY

February 12, 2019. We saw a very positive article on one of our holdings this morning, talking about GLOP-A. (GLOPPRA at Fidelity)

With the market driving ever higher since the low in December, it is very difficult to find positions that are still a buy. GLOP-A is still trading BELOW what we paid, and if you do not own, now is the time to buy, or add to your positions.


The large PFF preferred stock ETF is repositioning its holdings and has decided, not for any fundamental reason, to sell all of its very large positions in GLOP-A and GLOP-B and has been doing so with vigor. We have presented evidence in the article that this temporary selling has kept GLOP-A and GLOP-B at prices much lower than they would trade if the selling was not happening, and believe that once PFF has completed the sale of its GLOP preferred stock holdings, that GLOP-A and GLOP-B will quickly move higher.

GO HERE FOR FULL ARTICLE

__________

The Rasmussen Reports daily Presidential Tracking Poll for Monday shows that 52% of Likely U.S. Voters approve of President Trump’s job performance. Forty-seven percent (47%) disapprove.

_________

Holy crap: e-commerce ‘returns’ are enormous.

Return rates for e-commerce purchases are between 25% and 30%, compared with just 9% for in-store purchases. Turning reverse logistics — the process of returning goods from end users back to their origins to either recapture value or properly dispose of material — into a costly and high-stakes matter for retailers.

https://www.businessinsider.com/the-reverse-logistics-report-a-2018-10

BOOKS: Team of Vipers. Reading this new, very good book about the Trump election. Here is an excerpt from the book talking about the 2020 campaign.

(talking about the NFL kneelers) The Democrats, you watch, they’re going to nominate a kneeler, he crowed (Trump). They’re going to nominate a kneeler and I’m going to beat the hell out of them. He bit his bottom lip as he slowly punched the air with his right hand, like a champion boxer readying for another match. You can’t win a Democrat primary anymore unless you’re a kneeler. But you can’t win a general election if you hate the flag and the national anthem.

Scroll Down For More

NOTE TO NEW READERS:  Before you buy anything we discuss here, GO to the Core Portfolio tab to see a CURRENT listing of holdings. This blog is designed for investors seeking income.

Go Here For “About and Links”


Leave a comment

HEADIN TO VEGAS, AGAIN.

February 8, 2019. We have not had a ‘headin to Vegas’ pick in a long time.

Talk about gettin ‘into the woods’. SMHB is not a stock, REIT, BDC, bond, baby bond, or preferred. It is a leveraged ETN, an obscure risky ‘exchange product’.

NOTE: Before going further, understand you take a big risk with SMHB but it gives you a huge return of 17%

We are placing a LIMIT order at $22.00….SMHB should represent NO more than 2% of your portfolio.  Here is a brief description, and you can read the entire article at the link below.

SMHB goes exdividend Feb 11 so you should buy today is you want to own it.

(At 1 degree above zero here in freezing Chicago, we wish we were headin to the real Las Vegas.)

SMHB is a diversified exchange product issued by UBS Bank that tracks (twice leveraged) a basket of small cap high-dividend stocks. In fact, this is a quite unique product that provides instant diversification in several sectors across the high- yield spectrum.

READ ARTICLE BEFORE BUYING

__________

Trust in media plunges. Surprised???????!!!!!!

IBD: The Press Needs More Than A Super Bowl Ad To Fix Its Plunging Credibility

First, that fully half the country says its trust in the media decreased over the past two years. A tiny 8% say it’s increased.

That includes a plurality of independents (49%). Even among Republicans, who’ve long grown accustomed to media bias, 81% say their trust in the press has dropped over the past two years.

Geographically, those in the Midwest and the South are mostly likely to say their trust in the press has declined (52% and 57%, respectively) since Trump took office. Men are far more likely than women (54% vs. 47%). And those with incomes over $75,000 (51% of home distrust the media more) more than lower-income households.

These findings alone should be alarming. After all, as any corporate executive knows, you can’t run a successful business when a vast and increasing share of your customer base doesn’t trust the product you are selling.

https://www.zerohedge.com/news/2019-02-06/ibd-press-needs-more-super-bowl-ad-fix-its-plunging-credibility

Leave a comment

SOLD MDLX

Wednesday, February 06, 2019 Both MDLQ and MDLX tanked on Monday due to concerns about Medley. We sold MDLQ and when you add in the dividends received, the Total Return gave us a small loss.

We mentioned that MDLX would also be sold if we saw the price go up. Well it did late Tuesday and we sold it: when dividends were included we had a moderate loss on this position.

Today, we ADDING to the MRCCL position. Keep in mind that no single position should represent more than 4% of the Core Portfolio.

Wow, fake news prints a shocking poll.

A CBS News poll shows 72 percent of speech watchers said they approved of President Donald Trump’s immigration ideas presented during Tuesday evening’s State of the Union address, while 76 percent approved of his remarks overall.

The Rasmussen Reports daily Presidential Tracking Poll for Tuesday shows that 48% of Likely U.S. Voters approve of President Trump’s job performance. Fifty-one percent (51%) disapprove.

Leave a comment

SELL MDLQ.

February 5, 2019. We sold MDLQ this morning at a tiny loss. Medley is trying to arrange a merger of three companies, and it is not going well. There is the potential for a total loss of MDLQ and also MDLX.

We also want to sell MDLX but it is dropping quickly and we are ‘hoping’ for some sort of rebound today. But if that does not happen, we may sell tomorrow at a loss. Investors have to expect these types of bad situations, and in most cases it is best just to get out before you lose everything.

Last year we took a big hit on MIC but we decided to stay with it. The price is heading up, and it IS paying the dividends so that gives us small satisfaction.

__________

YES WE ARE QUICKLY HEADING FOR SOCIALISM. That is NOT a good thing.

Surveys are showing overwhelming support for raising taxes on top earners, including a new POLITICO/Morning Consult poll released Monday that found 76 percent of registered voters believe the wealthiest Americans should pay more in taxes. A recent Fox News survey showed that 70 percent of Americans favor raising taxes on those earning over $10 million — including 54 percent of Republicans.

__________

The Super Bowl ratings were the lowest in ten years.

Infographic: Are Americans Losing Interest in the Super Bowl? | Statista
Leave a comment

“TERM” FUNDS

February 4, 2018. The dividends have been coming in hot and heavy Thursday and Friday….in addition to very nice price increases in the Core Portfolio positions. In other words, the Total Return–dividends plus capital appreciation is good.

We had been expecting some sort of pullback, but with the good jobs report and supposedly positive talks with China, maybe the markets will continue higher.

Barrons arrives every Saturday morning. We usually only skim thru this financial newspaper because it is targeted to the hard core stock traders. But we did see several articles this week which were very good, including one about ‘term’ funds. Here is some of the article, and it is linked below.

For this reason, financial advisors frequently recommend that retirees build a laddered portfolio of bonds. Each bond (or, more typically, group of bonds) has a different maturity date—2020, 2021, 2022—to meet a different income goal. As the nearer-term bonds mature, you can spend that cash or reinvest it in longer-dated, higher-yielding securities to form another rung on the ladder. This strategy, however, requires a hefty investment.

(note: we own three Bulletshares funds and numerous ‘term’ funds) There are exchange-traded funds—such as Invesco BulletShares 2025 Corporate Bond (ticker: BSCP)—that offer diversified bond portfolios that mature, or liquidate, on specific dates, just like individual bonds. But interest rates are still low, and most such ETFs yield only 3% to 4% annually. One way to increase that payout is to buy an ETF focused on high-yield bonds, such as Invesco BulletShares 2025 High Yield Corporate Bond (BSJP), which yields 6.9%, but ramps up credit risk.

A much-overlooked investment addresses all of these challenges: a closed-end fund with term limits. Closed-ends often frustrate inexperienced investors because they can trade at discounts to their underlying portfolio’s net asset value (NAV)—and the discounts can persist indefinitely. So, you might never get the full value of your investment. But “term trust” closed-ends solve the problem because they liquidate their holdings at market prices on specific maturity dates. The discounts disappear and investors get the full portfolio return. (Conversely, if such a fund were bought when it was fetching a premium to NAV, the buyer would be hurt at liquidation.)

I like this strategy enough that I invest in such closed-ends myself. Say, instead of buying Invesco BulletShares 2025 High Yield (BSJP), you bought Western Asset High Yield Defined Opportunity (HYI), which I own. It also is maturing in 2025—on Sept. 30. But as of Jan. 25, it was trading at a 13.2% discount—with a share price of $13.68 and an underlying NAV of $15.76. If the fund were maturing now, that $13.68 share price would rise to $15.76 as the fund liquidates—a gain of 15% above whatever income the fund is already paying from its underlying bond portfolio. Since the fund matures in 6.7 years, the discount closing will amount to two percentage points of additional return a year above the underlying portfolio’s return.

https://www.barrons.com/articles/closed-end-funds-retirement-income-51549036008

NOTE TO NEW READERS:  Before you buy anything we discuss here, GO to the Core Portfolio tab to see a CURRENT listing of holdings. This blog is designed for investors seeking income.

_____

The Congressional Research Service (CRS) says President Trump has the legal authority to build significant portions of a border wall without additional congressional authorization or declaring a national emergency.

https://www.breitbart.com/politics/2019/01/31/congressional-research-service-president-can-build-border-wall-without-national-emergency-or-additional-action-by-congress/

A poll of 2,700 Trump voters shows that President Donald Trump will lose 43 percent of his base of support if a border wall is not built.

What’s more, the poll shows that only 43 percent of Trump voters consider the conclusion of the government shutdown a victory for Trump, even as 60 percent approved of ending the partial shutdown.

__________

150,000 Miles: Elon Musk’s 2018 Private Jet Log Defines The Renewable Energy Savior’s Hypocrisy

It was just days ago that we brought you  the latest story of liberal hypocrisy in which a billionaire, who was urging the world to eat less meat for global warming purposes, also happened to be jet-setting around the globe in her private jet, leaving a sizable carbon footprint behind.

The “save the Earth hypocrisy” torch continues its journey today, passing from her hand directly to the left’s favorite poster child for all causes environmental, Elon Musk. The Washington Post reported today that Musk’s corporate jet flew more than 150,000 miles in 2018, equal to six times around the Earth and dwarfing numbers put up by other (consistently profitable) CEOs like Tim Cook and Jeff Bezos.

ARTICLE

%d bloggers like this: