Clint Edgington

Clint Edgington
Contributor since: 2013
Company: Beacon Hill Investment
Whoa! I haven't even looked at LORL for awhile. It was one of the few examples of me cutting losses :).
I don't recall it being expensive without a deal. With a 30% haircut on CDN- are there other fundamental factors dropping it? May be worth a look...
Thanks Chris
fd: short puts
I am not an expert on Berkshire, so please correct any ignorance that's obvious in my question. Has Buffet reiterated that he would buy back stock at 20% above BV since the Precision Castparts acquisition? I know he likes keeping a slug of cash on hand, and PCP certainly would have drawn that down.
thoughts?
any way for US Holders to participate?
Thanks- I'd love to learn more about that-still haven't found out much on that...
Thanks Bugle Boy- good thoughts
I'll give it a shot!
HI Chris- could you remind me/post the link of where you discuss receiving stock certificates? Going to buy some expensive DIS for the boys for Christmas and want to make it a bit more tangible for them.
Thanks!
any thoughts on why it's trading off?
fascinating. I'll look forward to reading your behind the scenes book on it in a few years, or anyone else who writes one.
HI Chris- curious, where did you get the margin of safety on this? Would love to be pointed to resources to learn more about how this unfolded.
kussey; risk? interest rate risk is hefty. if rates go up presumably it won't get called and you'll be stuck with a lower yielding (and then lower priced) vehicle.
not saying its a bad vehicle, but that's the risk
Chris- thank you for your kind words! That means a lot coming from someone I respect.
Hi Heath- all seems smooth to myself (admittedly a tourist in this area) with the extension of the tender offer. Have you felt or heard anything from DOJ re: divestitures?
TY Tavit8. Hate to ask others to do my homework but you just saved me an hr of clicking around!
No Tom, I am not. Do you have the debenture or can you point me to it?
Another area that may be considered: real estate hard money loans/trust deed investing. While it's more work to set up than publicly traded securities an requires some comfort with real estate; I like the risk/reward, think it has a place in many accredited investors' portfolios, and invest in that space on behalf of our accredited clients. It is not abnormal to be able to get a 10% annual yield on a 2 year note at 80% LTV.
TY Chris. I prefer NOT to do this myself! But I just haven't found a suitable substitute for small amounts.
Great article- deserves a follow! Have you submitted info to the SEC micro cap fraud division?
HI Chris- Thank you for the writeup, I've been looking for a managed product in the merger arb space.
Aside from Mario Gabelli's general stature, what are your reasons for believing that GDL shows skill in the space? When I look at it, it appears that the gains haven't covered expenses and distributions. At a 6% distribution, I wouldn't think the risk arb beta would provide much more than that; but I would think a skilled manager could maintain the NAV. What am I missing?
Is there something to you that indicates that the manager is skilled; but there is something abnormal to the last 8 years that has hidden it?
re: the research on risk arb during tough times, do I understand your answer correctly if I interpret it as 'generally speaking risk arb would not provide ballast in the storm, but there are a few practicioners/shops that do well in those periods'?
HI Chris, as a HPH myself, I have gotten pitched by innumerable wholesalers and sat through hedge fund presentations about the next "bond substitute". With paltry yields, all of us HPH'ers want the magic beans- "the struggle is real".
Do you have any analysis on how merger arb has held up during periods of market stress? Has it given the diversification benefits that bonds do?
I can think of a graveyard of "bond substitutes"- MLP's are the most recent to come to mind, but there are others.
Keep in mind, one of the most important things a HPH does is keep an investor in their seats during market stress. That is a very difficult thing to do as an investor opens their statements month after month with a smaller and smaller balance.
If our "bond substitute" doesn't substitute so well, they sell their investments out en masse, lose the benefit of future growth, and potentially sue their HPH. Their will be another HPH there to help convince them of that, to be sure.
anybody have good luck getting a borrow? From where?
That's my math as well. Assumes PFLT NAV constant since 6/30 (less a divvy pmt).
Quite a large discount to NAV for PFLT.
HI Philip- I've not done a lot of work with BDC's. Is there a good resource to review the historical discount to NAV a particular BDC, or a class of BDC's has experienced?
Thanks
maybe I should start charging people to look at their arbs
everytime I look at a deal the spread evaporates
Assuming this has enough eyeballs on it to be efficiently priced; is it just the weight of the 30% or so of sales coming from China what we can assume has kept a wide spread?