Slow But Steady
Recycles dryer sheets
CBB-B closed at $47.90 yesterday. I see no news. Is anything up?
Good Morning Everyone,
I recently retired and my Edward Jones guy is asking for more of my $$. He has not performed well for me.I would prefer to do my own investing. I have about 105k in what I consider good dividend stocks EPD F WY T CSCO DUK LNT SO GE and I just bought some FTR I know the latter is a more risky, I will add to these holding with dividend reinvestment.
I will be receiving 8k net a month. I have zero debt property taxes,insurance and cell phone bill. I live on a catamaran and am very frugal. I will have about 5k a month to invest. I am 54 and looking to squirrel away the $600k I will save over the next 10 years. I am not much of a gambler and like lower risk, preferred stocks interest me.
If someone could assist in pointing me in the right direction to find some reasonably safe avenues I could put some of this cash.
Thanks for your help and I appreciate your time.
Brian
CBB-B closed at $47.90 yesterday. I see no news. Is anything up?
I noticed the price movement, and was tempted but I have about 400 already and it is a dog with flea's type according to the Master Mulligan
Good Morning Everyone,
I recently retired and my Edward Jones guy is asking for more of my $$. He has not performed well for me.I would prefer to do my own investing. I have about 105k in what I consider good dividend stocks EPD F WY T CSCO DUK LNT SO GE and I just bought some FTR I know the latter is a more risky, I will add to these holding with dividend reinvestment.
I will be receiving 8k net a month. I have zero debt property taxes,insurance and cell phone bill. I live on a catamaran and am very frugal. I will have about 5k a month to invest. I am 54 and looking to squirrel away the $600k I will save over the next 10 years. I am not much of a gambler and like lower risk, preferred stocks interest me.
If someone could assist in pointing me in the right direction to find some reasonably safe avenues I could put some of this cash.
Thanks for your help and I appreciate your time.
Brian
Cincinnati Bell is not an investment I would ever recommend, it is a very speculative investment and I doubt the interest compensates for the risk. Any decline in the economy and these investments are going to be in serious trouble. They are a “4” in Safety for value line putting them in the bottom 10% of the 1700 companies ability to meet their financial obligations.
When you can now get investment grade preferreds over 6% and even 6.5%, no the 7% yield of CBB-B is not worth the risk.
If you look at your total portfolio the first decision to make is how much of your portfolio do you want to invest in fixed income, how much in stocks and how much in real assets (real estate, gold commodities etc). I view preferred stocks as part of my fixed investments. For myself I would never have more than 10% of my portfolio in preferred stocks as a general rule. Since you are buying individual stocks and are looking for direction I recommend a starting point of 50/45/5 50 percent stocks, 45 percent fixed income and 5 percent gold. If you are comfortable with individual stocks I would make 25% of the portfolio or half of the stock portion with individual stocks at about 2% per position. 25% in VTI or SDOG. 35% in a 5 or 10 year US treasury ladder, now may be a good time to start if interest rates are starting a cycle up. 10% in preferred stocks, but you should read the entire thread here as well as visit this site http://www.dividendyieldhunter.comGood Morning Everyone,
I recently retired and my Edward Jones guy is asking for more of my $$. He has not performed well for me.I would prefer to do my own investing. I have about 105k in what I consider good dividend stocks EPD F WY T CSCO DUK LNT SO GE and I just bought some FTR I know the latter is a more risky, I will add to these holding with dividend reinvestment.
I will be receiving 8k net a month. I have zero debt property taxes,insurance and cell phone bill. I live on a catamaran and am very frugal. I will have about 5k a month to invest. I am 54 and looking to squirrel away the $600k I will save over the next 10 years. I am not much of a gambler and like lower risk, preferred stocks interest me.
If someone could assist in pointing me in the right direction to find some reasonably safe avenues I could put some of this cash.
Thanks for your help and I appreciate your time.
Brian
So, Mulligan, do you think it would be prudent to look for an exit?
I unfortunately bought CBB-B at around $49.50, so am underwater. Should I be putting in a GTC sell order at $49.50, and get out if it does run up to that level?
That is funny you said that RM about the common stock, as I was thinking same thing. The risk/reward is a definitely a one way slant to commons.
And in the coming few years its put up or shut up time. Their best bet may be a buyout from a bigger fish wanting a bigger footprint.
Dont you agree with me, that the preferred gets more of a market pass on yield now than it should? Maybe its the QDI thing that provides its relative ballast in yield.
FWIW, they are going cash flow negative on build out, and "hope" not to be soon after that. I dont mind utilities doing this as they do it for years on end, but they get the ROE already baked in at the end of the rainbow. The fix is in there...With CBB, there is no net under the high wire act.
When you can now get investment grade preferreds over 6% and even 6.5%, ......
Could you name a few, and how you determine this.
Could you name a few, and how you determine this.
Oh! the humanity!
Mully, are you backing up the truck at all? Just had a 1.65% $20k cd mature on the 16th, and I have to wear my granddaughter's bib to keep the drool off my shirt.
If at all cautious, just keep your durations short.
Here is another site for info, Sunset.
Preferred Stocks Trading Under Par | The Yield Hunter