November 29, 2019. The continued rise of the financial markets is really something to behold. It would appear there is no ceiling and CNBC and Fox Business are orgasmic over new highs.
At an age where we have lived thru booms and busts, we can tell you this WILL end…….younger readers take note! Probably not next week or next month or even next year. We are simply saying that you must be diligent and on the alert: there is absolutely nothing worse or more depressing to work at building your wealth and then to see it slide away down the drain. So for now we continue holding the Core Portfolio and in fact are buying again today.
We owned Compass Diversified Holdings CODI many many years ago and we are somewhat familiar with how they operate. It is a publicly-traded “private equity” firm that acquires and operates middle-market businesses in North America. CODI is highly respected and we are looking at their new preferred issue. BUY CODI-C (CODIPRC at Fidelity) a fixed rate preferred at 7.87%. We are placing a BUY LIMIT order at $25.15 and we will probably have to adjust the price to get filled. (UpDATE: Price spiked up Friday morning and we are NOT buying.)
(Their stock price has spiked higher and so we are NOT interested in the equity side.)
Compass Diversified Holdings, 7.875% Series C Cumulative Preferred Shares
Ticker Symbol: CODI-C CUSIP: 20451Q401 Exchange: NYSESecurity Type: Traditional Preferred Stock
|QUANTUMONLINE.COM SECURITY DESCRIPTION: Compass Diversified Holdings, 7.875% Series C Cumulative Preferred Shares, liquidation preference $25 per share, redeemable at the issuer’s option on or after 1/30/2025 at $25 per share plus accrued and unpaid dividends, and with no stated maturity. Cumulative distributions of 7.875% per annum ($1.96875 per annum or $0.4921875 per quarter) will be paid quarterly on 1/30, 4/30, 7/30 & 10/30 to holders of record on the record dates that will be 1/15, 4/15, 7/15 & 10/15 respectively (NOTE: the ex-dividend date is one business day prior to the record date).|
We bought DLRPRL at $24.99 and it is now 50 cents higher. Linked HERE is a very good article talking about Digital Realty. It is too late to buy the preferred, but always good to see positive articles on our holdings.
NOW IN OUR 8TH YEAR. NOTE TO NEW READERS: Before you buy anything we discuss here, GO to the Core Portfolio tab to see a CURRENT listing of holdings. Dividend Income Investor is designed for investors seeking income by using preferreds, BDCs, REITs, Closed End Funds, baby bonds and corporate bonds. Don’t forget to hit the like button. Go Here For “About“ Our host WordPress is running ads in the blog and we receive NO compensation from this advertising.