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Old 08-02-2018, 11:00 AM   #3661
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Thanks... I actually saw that but did NOT look at the press release.. and the 19th is the day the shares dropped...


Going to exit and hope I can get a few pennies above call price.... but if I do not then no big deal...


Why didn't any of you warn us before the 18th

I guess I got out too soon ... Got out higher than the accrued interest at 25.54 but it has gone up to 25.62... oh well...
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Preferred Stock Investing-The Good , The Bad and The In Between
Old 08-02-2018, 11:09 AM   #3662
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Preferred Stock Investing-The Good , The Bad and The In Between

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I guess I got out too soon ... Got out higher than the accrued interest at 25.54 but it has gone up to 25.62... oh well...


Its probably bouncing around on gambling that it doesnt get called. The odds arent in their favor though I would guess. I got in on GLPRU (temporary ticker) at 24.80 for 400 shares. Went and bought 300 more in another account at 24.80 also. Remember this in an LP so its a K-1 issue....I flipped out all of my remaining DCP-B at 25.88 so that was an easy money flip! Made almost 80 cents on that lot holding only a few weeks.
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Old 08-02-2018, 11:52 AM   #3663
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Its probably bouncing around on gambling that it doesnt get called. The odds arent in their favor though I would guess. I got in on GLPRU (temporary ticker) at 24.80 for 400 shares. Went and bought 300 more in another account at 24.80 also. Remember this in an LP so its a K-1 issue....I flipped out all of my remaining DCP-B at 25.88 so that was an easy money flip! Made almost 80 cents on that lot holding only a few weeks.
Picked up 150 at 24.90 in a tax-advantage account (which doesn't have other k-1s, so shouldn't be an issue).
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Old 08-02-2018, 12:02 PM   #3664
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I guess I got out too soon ... Got out higher than the accrued interest at 25.54 but it has gone up to 25.62... oh well...
I got out at $25.62 but see it's squeezed up another penny now Perhaps it has a life but not worth the risk of call. Now to search for where to put the $$. Maybe GLPRU..... (thanks Mulli for sharing the info).
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Old 08-02-2018, 12:21 PM   #3665
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Flipped part of DCP-B making a good chunk of change - thanks Mulligan
Bought 600 shares of GLPRU at 24.90 - thanks again Mulligan
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Old 08-02-2018, 12:48 PM   #3666
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Ken, did you ever consider KTBA over TBB? The yield was quite a bit higher and safety same level. Both maturities are way past my life expectancy.
Nope, forgot about that one.
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Preferred Stock Investing-The Good , The Bad and The In Between
Old 08-02-2018, 02:08 PM   #3667
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Flipped part of DCP-B making a good chunk of change - thanks Mulligan
Bought 600 shares of GLPRU at 24.90 - thanks again Mulligan


Ngine, I wish I could tell you.....I wish you success from my detailed intensive brow sweating balance sheet dissection... Unfortunately its this...Im the lead buffalo running us all over the cliff!
Kind of an all purpose LP with fingers in pot everywhere to gas stations and has been around a long time. Loves to shovel out the cash to common unitholders though and bonds arent rated real high. But that being said high yielders seem to keep getting buying attention. And its already crawling north and hasnt even been put to real ticker trading. Piece of crap Chicken Soup sent a 9.75 preferred out recently and it was already at 25.40. My bet is this one will get there and more before next divi. We shall see I guess.
I cant keep track of all my recent small ball flips as it has been pretty easy. Flipped 100 of WELPM at $119.99 after buying at $113 today and collected a div holding maybe 2 months tops. Just stuff like that though not as good as that.
Had 600 shares of ASRVP bought below $28,sold 200 yesterday at 28.71 and bought 300 more today back at 27.90. I really cant recommend playing in this one being so far over par, but the way above par past call issues that are illiquid is where the goofy price bouncing is at so its one of my entertainment issues that has made me good money over the years. When the party ends, I dunno, maybe soon, lol. But I dont mind holding this one long term if it stays outstanding as it has a very comfortable 2028 maturity since it was issued in 1998.
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Old 08-03-2018, 11:39 AM   #3668
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OK... price went up as I expected...


But, got my GLPRU at 25.03... did not have time to get in yesterday...


In the long run it is only pennies and I plan to hold this until they call...
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Old 08-05-2018, 04:08 AM   #3669
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OK... price went up as I expected...


But, got my GLPRU at 25.03... did not have time to get in yesterday...


In the long run it is only pennies and I plan to hold this until they call...


You know Texas, I really gave no thought to holding long term, just an obvious lazy researched shooting fish in a barrel trade. But the more I look at this one the more I am tempted to hold long term such as you are doing.
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Old 08-05-2018, 09:32 AM   #3670
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You know Texas, I really gave no thought to holding long term, just an obvious lazy researched shooting fish in a barrel trade. But the more I look at this one the more I am tempted to hold long term such as you are doing.

I think the company will be able to make enough cash to cover this issue for as long as they want... it should be highly rated... do not know why it has such a high coupon except that it has to pay out all income to common... so not able to build up a big cushion of cash like a C corp...


Plus, it is not going to be called anytime soon... plus it does become variable in the future so if rates go up it will also (well, maybe down too)...


I have had too many of my pref that I wanted to hold long term called... so I like the safety of that with the high coupon...


My long term holdings now include SPLP-A, GLPRU, NSS, C-N, PFH and CPE-A...
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Preferred Stock Investing-The Good , The Bad and The In Between
Old 08-05-2018, 03:33 PM   #3671
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Their bonds are only B rated, so that would be part of the high yield I suspect. But they make money and been around forever, so I feel comfortable too.
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Old 08-05-2018, 06:01 PM   #3672
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Their bonds are only B rated, so that would be part of the high yield I suspect. But they make money and been around forever, so I feel comfortable too.

OK, bad wording on my part... I think it should be rated in the BB range, so non-investment grade speculative... no way is it investment grade...


I do have it listed as a B on my weighted avg table.
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Old 08-06-2018, 07:40 PM   #3673
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Well after some successful high yield trades and purchases it was time to dial back some extra cash and impound it on the other end. Bought 380 shares of GGO-A today at $42.05. Its a $40 par $2 yearly divi. In a bit over a year it will trade at 10 year treasury plus 200 basis points with 5% par floor and 7% ceiling. A very safe and conservative issue. It originally was issued to people who paid the ransom note of buying the common shares first and these then leaked out later. It can be “putted” at par in 2019 and 2021 window. May be of some interest to watch for at the right price.
Used cash and proceeds from selling 1200 shares of CTGSP at 6.14 today. Who says you cant make money trading low yeilders. I made 8% holding this for less than 3 months.
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Old 08-09-2018, 03:03 PM   #3674
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Update time... NS management said in conference call this week they “have some debt to refinance later this year”. Except there is a problem. There is no debt to refi or rollover until 2020. So they have to be referring to NSS. So I sold it all at 25.69 previous two days and will just assume its a goner.
GLPRU has been a shoot fish in a barrel trade. Anyone beside Texas get in?
Been buying up old trust debt, and added up to now 1000shares of AGO-B at 25.88 which goes exD this month. Did research and Puerto Rico is not a disaster in waiting. They have 2.8 billion in excess capital that designates AAA rating. Despite PR overhang S&P still rates their profile AA. In fact Moodys projected the PR loss and still said they would remain within their AA profile. All 3 credit rating agencies are in alignment with each other. Plus, AGO shows no desire to ever call anything. They presently have a 7% bond 2034 maturity that has been callable for quite a while and havent touched it and it trades 14% above par. So I like holding this 6.64% debt issue for now.
I now own...GLPRU, AGO-B, BANFP, ASRVP, AILLL, FIISO, MTB-, PFX, GGO-A, RILYL, RILYH, DS-B, PIHPP, HE-U, MSEXP, BRG-A, CNIGP
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Old 08-09-2018, 03:30 PM   #3675
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I snuck in a few shares of GLPRU. Got caught up in some other things and missed the real early pricing but should still do OK on the div yield. I've been jumping out of some of the preferreds and into common as I'm watching the potential raising rate environment. Betting on that happening and catching a few $$ on common rising as a result. Done OK

Thanks for info on NSS. You may be right on your read from their call, but seems based on other recent issues they may not get any better pricing than they currently have. This was one of those holdings that I jumped out, reduced my holdings back in June so will hold for now, going to see another div payment but keep on eye on what happens.

My remaining preferred holdings: RLGT-A, CDMOP, RIYLZ, GLPRU, AILLL and NSS
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Old 08-09-2018, 03:56 PM   #3676
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I snuck in a few shares of GLPRU. Got caught up in some other things and missed the real early pricing but should still do OK on the div yield. I've been jumping out of some of the preferreds and into common as I'm watching the potential raising rate environment. Betting on that happening and catching a few $$ on common rising as a result. Done OK

Thanks for info on NSS. You may be right on your read from their call, but seems based on other recent issues they may not get any better pricing than they currently have. This was one of those holdings that I jumped out, reduced my holdings back in June so will hold for now, going to see another div payment but keep on eye on what happens.

My remaining preferred holdings: RLGT-A, CDMOP, RIYLZ, GLPRU, AILLL and NSS


Good jump in, Bob. Nothing wrong with riding the wave of the commons! At this price, one isnt really looking at a call smack down holding NSS. If they redeem next payment its only a few cents loss, and it could be the next one...Or neither. But Moodys clearly stated there is no maturities until 2020, and I checked the SEC quarterly filings and it aligns with Moodys also. See NSS is debt but it got a short term waiver from creditors to treat it as a preferred for debt coverage reasons. This could be expiring so some of that private bloated yield preferred could be assisting in redeeming the NSS as the private preferred is definitely is treated as capital, not debt. This is why I suspect he said “We have a debt refinancing to do later this year”.
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Old 08-09-2018, 04:05 PM   #3677
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Yeah, thanks for the heads up Mully. I'm in it not much over par, though. So, I'm gonna sit tight and collect until they call, if they do. I kind of agree with Bob on this. I was discussing with another friend the same point that based on some of their recent issues, the rate environment and costs of refinancing I'm not sure they can do better. But, if they do, OK, I'll find somewhere else to park the money.


I'm currently holding SPLP-A, RLGT-A, NSS, BGCA, LANDP, IPL-D, MAA-I, RILYZ, SSW-G, TBB
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Old 08-09-2018, 04:39 PM   #3678
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Update time... NS management said in conference call this week they “have some debt to refinance later this year”. Except there is a problem. There is no debt to refi or rollover until 2020. So they have to be referring to NSS. So I sold it all at 25.69 previous two days and will just assume its a goner.
GLPRU has been a shoot fish in a barrel trade. Anyone beside Texas get in?
Been buying up old trust debt, and added up to now 1000shares of AGO-B at 25.88 which goes exD this month. Did research and Puerto Rico is not a disaster in waiting. They have 2.8 billion in excess capital that designates AAA rating. Despite PR overhang S&P still rates their profile AA. In fact Moodys projected the PR loss and still said they would remain within their AA profile. All 3 credit rating agencies are in alignment with each other. Plus, AGO shows no desire to ever call anything. They presently have a 7% bond 2034 maturity that has been callable for quite a while and havent touched it and it trades 14% above par. So I like holding this 6.64% debt issue for now.
I now own...GLPRU, AGO-B, BANFP, ASRVP, AILLL, FIISO, MTB-, PFX, GGO-A, RILYL, RILYH, DS-B, PIHPP, HE-U, MSEXP, BRG-A, CNIGP

Are you listening to conf calls? If so... WOW.... So first off, thanks for the heads up.... I can make an informed decision instead of getting blindsided... edit to add... the only place I can see where the conf call is is seeking alpha which you have to sign up for... or NASDAQ which you also have to do, so cannot look at what was said to see contect...



I did a quick look and came across their new issue Pref D.... seems the interest rate on that will become worse than NSS (see below).... it also looks like NSS is part of NuStar Logistics LLP and guaranteed by NS.... I was looking at their new structure and it is still out on its own...


Also, their pref A, B and C is out there.... currently fixed but will go floating in a few years... looks like yield in the 9% range... so not much different than NSS...


As you said, the difference in price selling now or getting called is about the same, so the cost to hold is only the opportunity costs... if called I can flip into the A or C which have a better yield than B right now... and both have better LIBOR plus rates... I think I am going to hold on for now...
Series D Preferred Units Distributions
Distributions on the Series D Preferred Units accrue and are cumulative from the issuance dates and are payable on the 15th day (or next business day) of each of March, June, September and December, beginning September 17, 2018 to holders of record on the first business day of each payment month. The distribution rate on the Series D Preferred Units is: (i) 9.75% per annum for the first two years; (ii) 10.75% per annum for years three through five; and (iii) the greater of 13.75% per annum or the common unit distribution rate thereafter

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Old 08-09-2018, 05:24 PM   #3679
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Are you listening to conf calls? If so... WOW.... So first off, thanks for the heads up.... I can make an informed decision instead of getting blindsided... edit to add... the only place I can see where the conf call is is seeking alpha which you have to sign up for... or NASDAQ which you also have to do, so cannot look at what was said to see contect...



I did a quick look and came across their new issue Pref D.... seems the interest rate on that will become worse than NSS (see below).... it also looks like NSS is part of NuStar Logistics LLP and guaranteed by NS.... I was looking at their new structure and it is still out on its own...


Also, their pref A, B and C is out there.... currently fixed but will go floating in a few years... looks like yield in the 9% range... so not much different than NSS...


As you said, the difference in price selling now or getting called is about the same, so the cost to hold is only the opportunity costs... if called I can flip into the A or C which have a better yield than B right now... and both have better LIBOR plus rates... I think I am going to hold on for now...
Series D Preferred Units Distributions
Distributions on the Series D Preferred Units accrue and are cumulative from the issuance dates and are payable on the 15th day (or next business day) of each of March, June, September and December, beginning September 17, 2018 to holders of record on the first business day of each payment month. The distribution rate on the Series D Preferred Units is: (i) 9.75% per annum for the first two years; (ii) 10.75% per annum for years three through five; and (iii) the greater of 13.75% per annum or the common unit distribution rate thereafter



Heck no Texas, I read it, I dont listen.
Here it is, easy read less than 5 min. Notice in Q&A part where he mentions a refinancing this year. And there is no maturities for 2 years.
https://seekingalpha.com/article/419...all-transcript
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Old 08-09-2018, 05:47 PM   #3680
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Good jump in, Bob. Nothing wrong with riding the wave of the commons! At this price, one isnt really looking at a call smack down holding NSS. If they redeem next payment its only a few cents loss, and it could be the next one...Or neither. But Moodys clearly stated there is no maturities until 2020, and I checked the SEC quarterly filings and it aligns with Moodys also. See NSS is debt but it got a short term waiver from creditors to treat it as a preferred for debt coverage reasons. This could be expiring so some of that private bloated yield preferred could be assisting in redeeming the NSS as the private preferred is definitely is treated as capital, not debt. This is why I suspect he said “We have a debt refinancing to do later this year”.
They also said "As a result, we currently project our year-end 2018 debt-to-EBITDA to be around 4.7, but we’re working on initiatives that will take that number even lower.", so wonder if that projection includes NSS, if not then there's something else in the mix. I am just a bit over par so enough wiggle room should it get called, but hate to give up any of that div back by call. I jumped from ALLY-A as I thought something would happen, hate to jump out of this one too soon, but better than late I guess....
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