9 New Preferred Stocks Provide Increased Principal Protection [View article]
Boss, My experience with Scottrade has been the same, BUT you can place a buy order on these OTC trading new preferreds, you just have to go through the broker (thus a broker assisted fee) for a limit order at an entry price you are comfortable with. Another non-discount broker I use does not have this limitation, and I can bypass the broker in placing my order. The otc market is not predictable, is inefficient, and may seem irrational (buy orders may be filled at lower prices that your buy price) so your order may or may not be filled. Be patient and often will be filled if your order is above that current ask price. Do not use a market order-a risk of being seriously burned.
Investing In Industrial REITs, Part 1: Is Stag Industrial's Valuation Justifiable? [View article]
Bruce, You may want to read more in depth about property reits, their structure, their accounting methods (clearly different from non-reits), and explained well by both Dane as well as Brad Thomas in various articles they have posted in the past on SA. A simple look at the reit index performance should reassure you as to property reits being a long time better than average investment (see below). That being said, what glitters is not always gold-ROC often is not a sign of a reit's financial distress but can be considered "constructive" ROC, and, along with capital gains, can lower the tax consequences of a reit's dividends. An example is SUI-a long time successful reit involved in manufactured housing-whose dividends for years have included a % as ROC (can review their dividend history on their website). I think you will be denying yourself an excellent area of both good yield/total return if you avoid property reits because of your concerns.
Why Are REIT Dividends Like Everlasting Gobstoppers? [View article]
Mike, Just became aware you are again periodically adding cogent comments on various SA articles re: income area of investing. . Look forward to seeing more of your welcome insight, hopefully will see you writing lead articles again.
3 Reasons TravelCenters Of America Could Triple [View article]
Given your upbeat report on TA, I assume you look at their yet-to-hit-the-market offering of $100 million in 8.25% senior notes a risk acceptable income producing debt position to hold? Thanks for any comments.
I look forward to you continuing your excellent on-going analysis of reits. Have used you for some time as a main go-to sage on my many reit investment decisions, and always read your SA articles as well as the often informative comments that follow. I am near retirement and am focused primarily on (1) sleep well at night reliable investment income, (2) a yield that is more than paltry (I aim for a minimum of 6%, preferably 7%), (3) risk acceptable investments I feel comfortable my principal will be preserved, which leads me more into the preferred issues of reits rather than the common stock. I hope you will comment periodically on the preferred issues of the various reits you analyze. Thank you.
Earnings Show 14% Dividend Payer Resource Capital Corp. Is Outperforming The Mortgage REIT Market [View article]
I have sold my common shares in various mreits and have invested in their new preferred stock issues earlier this year at a below par price, simply because I want more dependable income and more of a safety net. For me I am still getting an acceptable yield in the 8% range and feel like I can sleep better at night without the uncertainty of the common share price volatility and potential for a reduced dividend. I assume you have no problem with RSO's two preferreds ? Thanks for any feedback.
All Tricks, No Treats, For Mortgage REITs [View article]
Brad, What are your thoughts about the preferred issues in this financial environment of the various mreits, such NLY, ARR, HTS, RSO for example? Would you consider these, rather than the common stock, if there was a good entry point (less than par)? It would seem the preferreds are a way to tap into the mreits, with a more reliable/predictable reasonably good income , and reasonable expectations of a floor price (i.e. par value at call sometime down the road) and preservation of capital. Thanks again for your in depth analysis of the reit sector.
Mike You are sorely missed by us fixed income investors. I hope to see your in-depth analysis and opining back here again or on some other forum (if the latter, please let us know here on SA). Any thoughts on the new NRF-C preferred? I also would be more than willing to subscribe if you are offering any advice via a subscription service Thanks again.
Retirement Strategy - When The Risks Are Greater Than The Rewards [View article]
Reassuring to hear that. All my purchases below par-my rule always is never buy above par unless a new issue with long call protection, then might accept a hair above par price, depending on the company. Always look forward to a handful of SA contributors, including you. Wish Michael Terry was still around.
Retirement Strategy - When The Risks Are Greater Than The Rewards [View article]
RS, what are your thoughts re: the preferreds of the mreits in this environment , with their lower, but still fairly good, yields for investors looking for dependable income, barring a disaster and suspension of the mreits common dividends?
Cedar Realty Trust: Strategically Small In Size And A New Preferred Surprise [View article]
Brad, always very insightful analysis of the reit sector. Your analysis of CDR is reassuring to me after having already bought into the B preferreds based on my studies of the company as well as those of some other SA contributors analyses. I continue to focus on reliable income from primarily the preferreds of various reits (mainly equity, a few mortgage), bought at the right time (less than par) and at an acceptable yield, this being a major part of my fixed income investing strategy as I approach retirement age.
mREITs I Am Buying With The Proceeds Of My mREIT ETF Sale [View article]
Your articles are always very informative to me and deal with my primary interest near retirement-income. My main holdings revolve around preferred issues of various reits, moreso equity than financial reits. I feel far more comfortable with the preferred stock than the common stock of these companies given the former's less volatile price fluctuations, call protection in many cases for several years (although that is not a must for me if can buy under par), and dependable cumulative dividends/don't have to worry about the dividend being slashed. I am glad you have broached the harder to understand mreits area, as your analysis of these higher risk investments is very helpful in my buy decision.
9 New Preferred Stocks Provide Increased Principal Protection [View article]
My experience with Scottrade has been the same, BUT you can place a buy order on these OTC trading new preferreds, you just have to go through the broker (thus a broker assisted fee) for a limit order at an entry price you are comfortable with. Another non-discount broker I use does not have this limitation, and I can bypass the broker in placing my order. The otc market is not predictable, is inefficient, and may seem irrational (buy orders may be filled at lower prices that your buy price) so your order may or may not be filled. Be patient and often will be filled if your order is above that current ask price. Do not use a market order-a risk of being seriously burned.
Investing In Industrial REITs, Part 1: Is Stag Industrial's Valuation Justifiable? [View article]
You may want to read more in depth about property reits, their structure, their accounting methods (clearly different from non-reits), and explained well by both Dane as well as Brad Thomas in various articles they have posted in the past on SA. A simple look at the reit index performance should reassure you as to property reits being a long time better than average investment (see below). That being said, what glitters is not always gold-ROC often is not a sign of a reit's financial distress but can be considered "constructive" ROC, and, along with capital gains, can lower the tax consequences of a reit's dividends. An example is SUI-a long time successful reit involved in manufactured housing-whose dividends for years have included a % as ROC (can review their dividend history on their website). I think you will be denying yourself an excellent area of both good yield/total return if you avoid property reits because of your concerns.
http://bit.ly/14MvdL5
13 New Preferred Stocks Provide 6.2% With Increased Principal Protection [View article]
Why Are REIT Dividends Like Everlasting Gobstoppers? [View article]
Just became aware you are again periodically adding cogent comments on various SA articles re: income area of investing. . Look forward to seeing more of your welcome insight, hopefully will see you writing lead articles again.
3 Reasons TravelCenters Of America Could Triple [View article]
Intelligent REIT Investing: Consistency Always Wins [View article]
Earnings Show 14% Dividend Payer Resource Capital Corp. Is Outperforming The Mortgage REIT Market [View article]
All Tricks, No Treats, For Mortgage REITs [View article]
What are your thoughts about the preferred issues in this financial environment of the various mreits, such NLY, ARR, HTS, RSO for example? Would you consider these, rather than the common stock, if there was a good entry point (less than par)? It would seem the preferreds are a way to tap into the mreits, with a more reliable/predictable reasonably good income , and reasonable expectations of a floor price (i.e. par value at call sometime down the road) and preservation of capital. Thanks again for your in depth analysis of the reit sector.
Off Line For Now [View instapost]
You are sorely missed by us fixed income investors. I hope to see your in-depth analysis and opining back here again or on some other forum (if the latter, please let us know here on SA). Any thoughts on the new NRF-C preferred? I also would be more than willing to subscribe if you are offering any advice via a subscription service
Thanks again.
Retirement Strategy - When The Risks Are Greater Than The Rewards [View article]
Retirement Strategy - When The Risks Are Greater Than The Rewards [View article]
what are your thoughts re: the preferreds of the mreits in this environment , with their lower, but still fairly good, yields for investors looking for dependable income, barring a disaster and suspension of the mreits common dividends?
Cedar Realty Trust: Strategically Small In Size And A New Preferred Surprise [View article]
Good Dividend Payer Northstar Realty Finance Balances Risks Well [View article]
Apollo's 8% Yielding Maiden Voyage Into The Preferred Market [View article]
mREITs I Am Buying With The Proceeds Of My mREIT ETF Sale [View article]