What did you trade today and why?
- Thread starter YellowSubmarine
- Start date
dickoncapecod
Recycles dryer sheets
Yep. That's what HAPPENED when a private credit fund converted to a CEF and an enormous discount from NAV closed. It WAS a fabulous trade for the folks who bet on a normalization of that discount. Wish I'd been smart enough to take the ride, but what now? I don't have a time machine, so I can't go back and buy it --- so I'm stuck today buying a much better-credit with a larger discount that yields 1,5% more.
Regards, Dick
Hi....and for fun, let's do some math that may not be obvious in the historical chart...
Suppose I was smart enough to buy $50,000 worth of FSCO a couple years ago at $10. That's 5000 shares that are currently giving me $3,870/year in income. But if I sell my FSCO now at $16, I get $80,000 to invest in (say) JFR. That buys 9,720 shares of JFR that give me $9,915 / yr in income. So that swap would give me an extra $6.045/yr in income from a better-credit-quality CEF trading at a 4% greater discount.
Regards, Dick
Been building up holdings in PMF and PMX Pimco national municipal bond CEF. Trying to get more tax free income in my taxable account along with increased qualified dividends with the F&C preferred CEF family of funds. PMF and PMX will be combined with PML in a proposed merger due in a few months.
Did very well purchasing BANX over a period of a few weeks and then selling it at an unusual mistake by someone placing a market order that illed at a 3% over the bid price ($20.54 ask over $20 bid). That’s never happened before. If they had placed a limit order it could have filled at $20 easily.
Flieger
Full time employment: Posting here.
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Are we talking about the same FSCO? I bought 3650 shares at AVG of $6.52/share, it closed today at $7.20. At current this will give me about $3900. Not sure where your $10 and $16 is coming from?
If I see now that is ~$26.3k which would buy ~3185 shares of JFR at current $8.25, yielding ~$3200.
I must be missing something, or we are talking about two different ETF's.
Flieger
I've owned BUI for a while, although I switched it from the taxable brokerage to DW's smaller IRA roll-over a year ago. I also looked at UTG, but BUI had more industrial infrastructure and foreign, although I think a big part of its foreign is Canada. Both were attractive.
FlyingCircus
Recycles dryer sheets
Small position in TSLA, washing some of its blood off, looking for a small breakout in the short term. Added 3% to AAVM (value & momentum fund of two custom index/factor funds).
dickoncapecod
Recycles dryer sheets
No. You're right. My bad. I couldn't enlarge the chart and even squinting I misread ---- thought I was seeing prices rather than growth. So the whole premise for the swap was incorrect. The only thing I said that made sense was earlier --- that history (past performance) has little relevance to an investment decision made today.
Regards, Dick
drs
Recycles dryer sheets
That's what happens when the first year trading assistant on the desk is told to buy 100K of an illiquid security that trades a few hundred thousand a day and enters it as a market amount in the afternoon... (not checking details, but that's how it happens). You can bet he got an evisceration after that!!! (and in fairness might be a she)
Flieger
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COcheesehead
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Same for the tops
Heh. If there is someone (and in a world of 8+ billion people, maybe there are one or two) who can consistently predict tops and/or bottoms, they'd not sell newsletters. They'd be on a mega-yacht with a computer set up for satellite contact so that they're always online and available to trade, with a drink in one hand and a bell in the other that they could ring to have an attractive person of their preferred sex bring them another drink.
True stories: DW did electrical estimating for a megacorp megaproject. Copper prices increased ~250% between the estimate and purchasing wire and cable (whose prices tend to move in lockstep with copper), resulting in massive cost overruns compared to the estimate. She got chewed out by da bosses and when she pointed out the change in copper pricing she was told, "Well you should have foreseen that". I told her she should have told them, "If I could accurately forecast metals prices then there's no way that I'd be working for you!". As she wished to remain employed with megacorp, she didn't say that... which was a good thing.
During the same time I estimated electrical costs for a large project for my company (not a megacorp, but the project was large compared to total revenues). The same thing happened (large cost overruns) and my boss (the VP of Engineering) came into my office, told me he had to explain the overrun to the CEO, and asked me what happened. I explained, he asked, "Can you document the copper price increases?". I told him sure, I can get a graph of spot copper prices for the time period in question and print it out for you. He met with the CEO and gave the explanation. He told me the CEO asked him two questions: (1) "Could we have foreseen this" and, (2) "If our competitors built a similar project in the same timeline, would they have had the same overruns?". No, and yes. That was the end of it.
True stories: DW did electrical estimating for a megacorp megaproject. Copper prices increased ~250% between the estimate and purchasing wire and cable (whose prices tend to move in lockstep with copper), resulting in massive cost overruns compared to the estimate. She got chewed out by da bosses and when she pointed out the change in copper pricing she was told, "Well you should have foreseen that". I told her she should have told them, "If I could accurately forecast metals prices then there's no way that I'd be working for you!". As she wished to remain employed with megacorp, she didn't say that... which was a good thing.
During the same time I estimated electrical costs for a large project for my company (not a megacorp, but the project was large compared to total revenues). The same thing happened (large cost overruns) and my boss (the VP of Engineering) came into my office, told me he had to explain the overrun to the CEO, and asked me what happened. I explained, he asked, "Can you document the copper price increases?". I told him sure, I can get a graph of spot copper prices for the time period in question and print it out for you. He met with the CEO and gave the explanation. He told me the CEO asked him two questions: (1) "Could we have foreseen this" and, (2) "If our competitors built a similar project in the same timeline, would they have had the same overruns?". No, and yes. That was the end of it.
Fahshah
Dryer sheet aficionado
Over the weekend I had NÉE & VZ called and PLTR put to me.
Monday morning I sold puts on VZ, TGT, AMAT, NVO, ALB, BMY, MRK & PLTR. I also sold calls on PEP & JNJ.
This is my weekly experiment with @waynew income generation from options. Income from the options for the week is Just over $1,300 and over $4,100 for the month.
Yesterday I sold some SGOV and bought WDI.
Monday morning I sold puts on VZ, TGT, AMAT, NVO, ALB, BMY, MRK & PLTR. I also sold calls on PEP & JNJ.
This is my weekly experiment with @waynew income generation from options. Income from the options for the week is Just over $1,300 and over $4,100 for the month.
Yesterday I sold some SGOV and bought WDI.
Theophrastus Bombastus
Dryer sheet aficionado
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I don't trade.
I buy and accumulate.
Other than for mandated RMD's, I don't sell - ever. Even then, I try to transfer in-kind to taxable accounts and cover the taxes from cash positions
Trading is like the farmer who owns an apple orchard and keeps uprooting trees and planting new ones.
For true wealth to evolve, it takes time.
Patience is a virtue most of us do not have.
I buy and accumulate.
Other than for mandated RMD's, I don't sell - ever. Even then, I try to transfer in-kind to taxable accounts and cover the taxes from cash positions
Trading is like the farmer who owns an apple orchard and keeps uprooting trees and planting new ones.
For true wealth to evolve, it takes time.
Patience is a virtue most of us do not have.
Flieger
Full time employment: Posting here.
- Joined
- May 27, 2023
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- 991
I guess I liken it more to pruning away dead, than uprooting and re-planting.
Flieger
eniacpalm
Recycles dryer sheets
sold MRI on spike, purchased JEF and added to ADX
dobig
Recycles dryer sheets
Easy for me to get tempted to trade when I see good ideas posted so I have to remember words of wisdom when I see them.
Of course simple for me to say now after trading the ever living heck out of NVDA earlier this year for hefty gains. I just have to be resolute with my plans to stick with a portfolio allocation I've been working to finalize for a couple years now and am very happy with how I'm invested.
I've won the game and if I stick to my plan I'm set for life. Just need to keep reminding myself.
OP
OP
YellowSubmarine
Recycles dryer sheets
- CIM sold in Roth, got my gain and dividend
- FBTC sold in Roth; with proceeds start new positions (income oriented):
+ BTCI
+ BITO
+ UTF
+ added to IYRI
- FBTC sold in Roth; with proceeds start new positions (income oriented):
+ BTCI
+ BITO
+ UTF
+ added to IYRI
eniacpalm
Recycles dryer sheets
On Wednesday:
- GQEPX across multiple accounts. Fund was great for last 3 years until 2025. Reduced total equity exposure by 6% as a result. Will call this "sell in May" money and look to deploy with a pullback into FCNTX or FGRTX. Market feels a little toppy and with companies pulling back on guidance and still exposed to min 10% tariffs, I don't anticipate getting back to February highs in q2 or q3.
- GQEPX across multiple accounts. Fund was great for last 3 years until 2025. Reduced total equity exposure by 6% as a result. Will call this "sell in May" money and look to deploy with a pullback into FCNTX or FGRTX. Market feels a little toppy and with companies pulling back on guidance and still exposed to min 10% tariffs, I don't anticipate getting back to February highs in q2 or q3.
Montecfo
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Flieger
Full time employment: Posting here.
- Joined
- May 27, 2023
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- 991
dickoncapecod
Recycles dryer sheets
Lightened up modestly on PHK to add to KIO and WDI that look more appealing on charts --- plus PHK ex-date is behind while WDI is ahead. All of the junkier credits might suffer a bit if stocks crater again, but I'm an income investor and Fed policy is flat or lower from current 4.3%.
Regards, Dick
Regards, Dick
Yes indeed. Hopefully I’ve learned my lesson.
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