Income Deposit Securities

Tony Tampa · 05-25-2006, 01:01 PM

Has anyone had any experience with these?
Thoughts, pros and cons?

brewer12345 · 05-25-2006, 01:03 PM

Never heard of them. Got a link or explanation?

Tony Tampa · 05-25-2006, 01:29 PM

They trade on Amex. They pay a monthly income stream based on interest payments on the notes and dividend income, if any, on the common stock.
Designed to distribute nearly all free cash flow to investors.
Issuers are mostly mature, relatively stable businesses.
One such security is symbol OTT, a rural phone company in the south.

brewer12345 · 05-25-2006, 01:47 PM

Ah, like what B&G Foods (BGF) did. I think they can be good at a price, but like most everything that pays fat yield, they have been bid up a lot in the last few years.

05-25-2006, 01:01 PM	#1
Tony Tampa Dryer sheet wannabe Join Date: Apr 2006 Posts: 14	Income Deposit Securities Has anyone had any experience with these? Thoughts, pros and cons?

05-25-2006, 01:03 PM	#2
brewer12345 Give me a museum and I'll fill it. (Picasso) Give me a forum ... Join Date: Mar 2003 Posts: 9,226	Re: Income Deposit Securities Never heard of them. Got a link or explanation? __________________ “When you realize that you are one of the rare few who observe moral principles in their relationships with others, there is a temptation to sink into amorality, not out of conviction or pleasure but simply to avoid further pain, because there is no greater suffering than being an angel in hell, whereas a devil feels at home wherever he goes.” – Martin Page, How I Became Stupid

05-25-2006, 01:29 PM	#3
Tony Tampa Dryer sheet wannabe Join Date: Apr 2006 Posts: 14	Re: Income Deposit Securities They trade on Amex. They pay a monthly income stream based on interest payments on the notes and dividend income, if any, on the common stock. Designed to distribute nearly all free cash flow to investors. Issuers are mostly mature, relatively stable businesses. One such security is symbol OTT, a rural phone company in the south.

05-25-2006, 01:47 PM	#4
brewer12345 Give me a museum and I'll fill it. (Picasso) Give me a forum ... Join Date: Mar 2003 Posts: 9,226	Re: Income Deposit Securities Ah, like what B&G Foods (BGF) did. I think they can be good at a price, but like most everything that pays fat yield, they have been bid up a lot in the last few years. __________________ “When you realize that you are one of the rare few who observe moral principles in their relationships with others, there is a temptation to sink into amorality, not out of conviction or pleasure but simply to avoid further pain, because there is no greater suffering than being an angel in hell, whereas a devil feels at home wherever he goes.” – Martin Page, How I Became Stupid

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