Mulligan
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
- Joined
- May 3, 2009
- Messages
- 9,343
But didn't you point out that some of these Trust Preferreds may be on borrowed time, due to the changes coming in 2019 regarding how they are treated on the balance sheets? Or is that only for preferreds issued in 2008-2010 era?
I cut my risk over the past few months and sold some of my bank overhang issues (like C-N, half of my ALLY-a, BOFIL, one or two others))
Banfp was a pre 2010 issued trust with assets under 15 billion (BANF is a bank with 7.5 billion assets, so way under limit). So it is grandfathered and Totally exempted. The company actually specifically mentions this in their SEC filings, too. So any redemption is totally on their whims, not mandated. Bob, found ALLY-A is TARP grandfathered and is totally exempt too. But with a higher yield and adjustable company may be more likely to pull plug. I reentered ALLY-A at 25.90 or so after I gambled they wont redeem next month which they wont now. So its good until February minimum most likely.