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Annaly's (NLY) bid for the rest of CreXus (CXS) - a player in the CMBS market - shows the...

Annaly's (NLY) bid for the rest of CreXus (CXS) - a player in the CMBS market - shows the company is not going to sit on its hands as the Fed's QE obliterates returns in the Agency MBS sector. "We may allocate up to 25% of our shareholders equity to real estate assets other than Agency MBS," says Annaly CEO Wellington Denehan. CXS +12.6% premarket.
Comments (6)
  • Brian Bobbitt
    , contributor
    Comments (1905) | Send Message
     
    This shows how the REIT market is still unsettled. I will remain OUT until things get quieter. What a shame. Well, at least I am not forced to go back to work. [yet] The NGM's policies make REITs work, and "unwork". DEAL WITH IT.
    This week I am meeting with my financial advisors and will listen very nice, take their advise, and do precisely what I want. One wants me into Munis, Well, in theory, with taxes obviously going up, may be a great place, but as I have said, with the coming inflation, and higher taxes, and perhaps even back into recession, and higher interest rates, it may just be standing aside is best for a while yet.
    Looking for a trend, and I have tools including a time machine. So one thing for sure, if you have no PM's yet, GET SOME!

     

    Capt. Brian
    The Lost Navigator
    12 Nov 2012, 08:41 AM Reply Like
  • vandob
    , contributor
    Comments (49) | Send Message
     
    Advisors are like govt workers, they only respond after the fact---the opportunity in munis was 2+ years ago......
    12 Nov 2012, 01:17 PM Reply Like
  • TwistTie
    , contributor
    Comments (2476) | Send Message
     
    As suspected, NLY is hybridizing.

     

    Goody.
    12 Nov 2012, 10:44 AM Reply Like
  • Joseph P. Porter
    , contributor
    Comments (762) | Send Message
     
    This might be a good deal for Annaly, but I'll probably be looking to dump my CreXus if Annaly takes it over.
    12 Nov 2012, 11:10 AM Reply Like
  • joeytheghost
    , contributor
    Comments (39) | Send Message
     
    I sold my CXS this morning; always will bank a 20% gain when it comes along and if I have little or no confidence in the firm doing the take over. Maybe in the long run there will be an advantage for NLY doing the diversification into a hybrid. However, I have owned NLY in the past but have serious concerns over their current management.

     

    The ink isn't dry on this deal and lawyers are already making their opposition to this deal known. Glad to be out of this one. Bought more EFC this morning to redeploy gain and capital.
    12 Nov 2012, 12:30 PM Reply Like
  • Joseph P. Porter
    , contributor
    Comments (762) | Send Message
     
    I'd be the last person to criticize your move. I am uncertain as to what to do - the 20% return looks nice, and - like you - I really don't have confidence in NLY.
    12 Nov 2012, 12:34 PM Reply Like
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