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Todd Johnson

 
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  • SandRidge Permian Trust: High Dividends Provide Short-Term Downside Protection [View article]
    Hi Wyatt, I think (I would say "know"...but I'll play it safe!!) you will like what you see with PER. :) Thanks for dropping by.....Best, Todd
    Aug 14 08:36 PM | Likes Like |Link to Comment
  • 08.14.11 My Negative-Views on the Stock Market [View instapost]
    Hi Archman, great to hear from you.

    Thanks for the feedback. I want to be sure to express my views, or refer back to it as we go along. I'm an optimist in general, but the stock market is a different animal. :)

    Best,

    Todd
    Aug 14 08:30 PM | Likes Like |Link to Comment
  • SandRidge Permian Trust: High Dividends Provide Short-Term Downside Protection [View article]
    Hi richjoy403 -

    I have clear advise on tax implications:
    seekingalpha.com/insta...
    Aug 14 06:30 PM | 1 Like Like |Link to Comment
  • SandRidge Permian Trust: High Dividends Provide Short-Term Downside Protection [View article]
    Hi declanfromtrinidad -

    I am constantly "renovating" my portfolio and trying to upgrade quality and reliability of dividends/distributions. Since SDT and PER are both hedged out a few years, I don't have to monitor WTI/brent oil prices, and natural gas prices. It makes the process simpler for me.

    I think we will see a downturn in the markets after this "Fed Funds" rally, and US Government budget cuts take hold --- and I work to improve the cash flow to me.

    I like ag long term. I like energy long term. I like anything that pays a sustainable dividend - and a reasonable dividend - vs. what brokers/wall street advise (eg XOM, KO, PG, etc....not to creative).

    Best, Todd
    Aug 14 06:28 PM | 1 Like Like |Link to Comment
  • My 10 Favorite, Must-Own Dividend Stocks (Part 1 of 2) [View article]
    Hi Mr. Highlands, thanks.

    I personally wouldn't buy EAD in this environment. www.cefconnect.com/Det...

    1) xeadx shows it's not trading at a discount (not good enough for me in a cef),
    2) It's leveraged by 26%, which might be ok if it's holdings were solid.
    3) Per June 30th sec filings, it appears: 37.4% of debt is rated BB; and 46.1% of debt is rated B. This is data that suggests to me: short, sell, pretend I never heard of it.

    I am conservative - thus I have zero interest in these types of funds. The fund pays a monthly 8.5-cent dividend and may be acceptable for your risk tolerance.

    Best, Todd
    Aug 14 06:21 PM | Likes Like |Link to Comment
  • Hedging My 10 Favorite, Must-Own, High-Yield Dividend Stocks (Part 2 of 2) [View article]
    Hello Roy,

    Great to hear from you. Thanks for the feedback.

    I would require to know your: a) AGNC cost basis; b) the asset allocation including AGNC-stock; c) your risk tolerance, etc; d) if you are a trader/investor; e) your personal familiarity with options (or if you would use them).

    I would suggest -- assuming you own one agency-mreit (ie only-AGNC) - that you buy a basket of the agency-mreits. Hopefully you bought them closer to book value per share.

    Assuming your total-portfolio is geared for "income", that opens a lot of doors. Your holdings might also include blue chips (eg mcd, mo, pg, ko, or preferred shares). There are so many factors, when put together, which would place an individual in a unique situation.

    Your age, sources of income, etc, all would --- in my mind --- make your unique situation require further analysis.

    Best, Todd
    Aug 14 03:34 PM | Likes Like |Link to Comment
  • SandRidge Permian Trust: High Dividends Provide Short-Term Downside Protection [View article]
    Hi declanfromtrinidad, they are structurally different. In 2013 the two units may have similar payout structures - but the SEC filings, S-1/A, have the rationale for me owning S-1/A .

    Since I own SDT, the trust went ex-dividend this past week.

    Since they are two distinct entities, their are distinct differences in hedges, payouts, entry price (for me). I'm comfortable owning both since they are different.

    More importantly - I need cash coming into my brokerage account so I can pay expenses. SDT went ex-dividend last week, and PER will go ex-dividend Nov 30th.

    My Costco cashier said they could not wait for a November 30th payment for groceries today. ;)

    Best, Todd
    Aug 14 03:26 PM | 2 Likes Like |Link to Comment
  • SandRidge Permian Trust: High Dividends Provide Short-Term Downside Protection [View article]
    Hi JustGiveMeTheDividends -

    Great thoughts, calculations, input.

    I invest in these "trusts" for the return OF capital principle. Since the early years pay so much, I look at the out years (beyond the hedged prices) as gravy (gray = my non "Wall Street" descriptive wording). It's inconceivable to know what oil/nat gas will be trading in those years.

    Per the SEC filing, at the end of the trust, March 31st, 2031 - there is some residual value (split 50/50 between SD & PER unit holders)....I don't know what that value is, but it still could be an issue to address.

    Also it should be noted that SD has incentives to pay more than expected in our "targeted distributions". To be conservative, I don't explore that potential benefit.

    There is a lot to like in this name. I appreciate the informative comments.

    Best, Todd
    Aug 14 02:14 PM | 1 Like Like |Link to Comment
  • Hedging My 10 Favorite, Must-Own, High-Yield Dividend Stocks (Part 2 of 2) [View article]
    Hi Roy -

    Great to hear from you.

    I would need to know your a) cost basis of AGNC shares; b) your asset allocation besides AGNC; c) are you a trader/investor; d) your familiarity with options.

    I would recommend - assuming you own 1-stock (ie AGNC) - that you buy a basket of the agency-mreits. If you can buy them closer to book value, the better off you will be.

    Your portfolio is designed for "income". That could include blue-chip stocks (eg mcd, mo, ko, preferred shares)....all those factors together would make me decide to position with a SH (since SH is quite a bit of the blue chips) hedge and/or SDIV, etc.

    I guess what I am saying is there are a lot of other factors that I would need to know.

    Best, Todd
    Aug 14 02:07 PM | Likes Like |Link to Comment
  • Hedging My 10 Favorite, Must-Own, High-Yield Dividend Stocks (Part 2 of 2) [View article]
    Hi Les - no lip service from me -- sincerely "thanks" for the positive feedback. I sincerely appreciate it.

    Please stay in touch. If you see an opportunity, let me know. ;) Great to hear from you. Enjoy your Sunday.

    Best, Todd
    Aug 14 02:01 PM | Likes Like |Link to Comment
  • Hedging My 10 Favorite, Must-Own, High-Yield Dividend Stocks (Part 2 of 2) [View article]
    Hi Thomas, your idea is one I could very well do.

    Many (myself included) buy agency-mreits after they go ex-dividend and/or after a secondary. Then investors can sell when ex-dividend date approaches for the next quarter. Many people do such actions. Good point.

    In the meantime of owning AGNC in the dog-days-of-August (and a mini debt issue), the put can provide a cheap (imo) form of insurance.

    I personally believe since the Fed has given the blue-light special to banks that the Fed Funds rate is zero for 2-years, that AGNC (and other agency-mreits) will be under accumulation. I believe it is quite likely that the price-to-book value will increase from say a 1.07x to a 1.2x. I could be wrong - and will adjust accordingly.

    Your idea of buying a put when the stock is trading high, right before the ex-dividend date, is theoretically valid. The put, however, in reality is priced in the put's price as the agency mreits are very predictable in dropping post ex-div date.

    Thanks for the question.

    Best, Todd
    Aug 14 01:58 PM | Likes Like |Link to Comment
  • My 10 Favorite, Must-Own Dividend Stocks (Part 1 of 2) [View article]
    Hi dina93, good to hear from you.

    Which stock are you referring to? I assume Student Transportation. Since it's trading in Canada (coming to a U.S. exchange soon....!), please use Student Transportation, Inc. (STB.TO).

    Here is a direct link to the dividends: finance.yahoo.com/q/hp...

    Stay in touch. Best, Todd
    Aug 14 01:48 PM | Likes Like |Link to Comment
  • SandRidge Permian Trust: High Dividends Provide Short-Term Downside Protection [View article]
    Good morning Bob -

    Great insights/thoughts. I believe PER's IPO was priced downward due to the market's turbulence - in addition to the reasons you mention.

    PER will definitely attract investors' notice with time. SDT has been strong along with going ex-dividend this past week.

    SD's success is crucial to PER & SDT long-term. I like to hear your commentary on SD as their success is tied to the trusts.

    Thanks for the great info. Best, Todd
    Aug 14 11:41 AM | Likes Like |Link to Comment
  • David Tepper's Top 25 Stock Picks [View article]
    Terrific article. It should be notes that Tepper invests a significant percentage of assets-under-management in debt filings, which are not reflected in equity holdings. His usual portfolio allocation is 70% debt & 30% equity positions.

    What you see here could be enhanced or inversed - via his debt positions.
    Aug 14 10:47 AM | Likes Like |Link to Comment
  • Creating an Aggressive Dividend Portfolio: The First 11 Names [View article]
    Hi waiming, we are up because UAN is a relatively unknown. $24.00 now is more representative of the value. Zero correlation to SP500 imo. Sorry for the late response, just checked for replies....Best, Todd
    Aug 13 10:54 PM | Likes Like |Link to Comment
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