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RonFrankDHM

RonFrankDHM
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  • American Capital Agency Corporation And One Other Stock Can Fund My Retirement [View article]
    Just food for thought.

    What happens with all eggs in the same basket, for how many years will you live to be able to collect that? It isn't just the time involved into getting to the place where it pays off annually for your retirement. It is also and more importantly the 20 to 30 years of actual retirement. Will AGNC even survive for the next 25 to 30 years for you to be successful? It's not even that old of a company currently to give any suggestion it may.

    AGNC would have to be a good investment through all the years you are retired as well as your next 4 years. That would be very lucky! Very. We just saw an extraordinary devaluation and reduction of dividends in the past 3 years from interest rate fluctuations. We lost 1/3 our valuation, and dividends dropped to less than half. At some point those interest rates will fluctuate again maybe during the middle of your retirement. Have you allowed for that possible crash, or maybe worse?

    I like the dream. I fear the computing for future is almost worthless. We cannot predict the future as demonstrated by the past. There are other investments which are potentially just as good, and may pay as much or a little less, but they would be worth considering so all eggs aren't lost or reduced in what we saw happen in the last 3 years.

    My best to you and your dream.

    Long AGNC as well... but not as heavily as you.
    Mar 4, 2015. 11:10 AM | 7 Likes Like |Link to Comment
  • Prospect Capital: Why I Don't Care If Prospect Cuts Its Dividend [View article]
    Exactly
    Dec 6, 2014. 12:20 PM | 1 Like Like |Link to Comment
  • Prospect Capital: Why I Don't Care If Prospect Cuts Its Dividend [View article]
    Yes. Being that I own the stock before it was 15%. Reinvested dividend yes, but that is my pay. I do not want them to reduce the dividend. So, my initial cost would only be earning maybe 8%. I expect them to do their job and create more value and have an increase in my return for hanging onto the stock over time. Yes your point is great for someone who buys it right now maybe. As, long as they don't keep dropping the dividend in the future. This is not the best BDC by the way. There are others which never stopped their dividend during the down times and actually increased it. Hopefully, they will continue during the yield compression as well.
    Dec 6, 2014. 12:18 PM | Likes Like |Link to Comment
  • Prospect Capital: Why I Don't Care If Prospect Cuts Its Dividend [View article]
    Dude you need to go look at the facts. Without the .11 cents extra TI was .33 for the quarter. Which just covered the dividend exactly. Go read it again.
    Dec 6, 2014. 12:12 PM | Likes Like |Link to Comment
  • Prospect's Distribution Is Not Sustainable [View article]
    That is totally untrue. You listen to short sellers and people who have a grudge. With TI the dividend was completely covered .33. The shot down aircraft gave an extra .11 boost. Did you not listen to the earnings call? Gossip
    Dec 3, 2014. 10:24 AM | 5 Likes Like |Link to Comment
  • Kinder Morgan: The Calm Before The Storm? [View article]
    Okay this one I got to speak on. A buddy of mine is a fireman captain. He is still working way into his 50's. He is not set up anything like mentioned by disturber. They are exposed to chemicals we are never exposed to unless there is a fire in our home. Not just from the fire but also the fire retardants. They need to retire earlier with the physical constraints and demands put on them. Do you want a 50+ year old trying to heft you out of a fire with lungs already damaged from previous emergencies? Or, are you going to want someone younger and stronger? I understand not liking taxes, but do not attack emergency workers without understanding what they give you. He watches his buddies die of cancer over the years from the chemicals they are exposed to and the stress. Less taxes I'm in for... insinuating fireman are corrupt or take advantage of the system, I'm not.
    Nov 24, 2014. 11:24 AM | 2 Likes Like |Link to Comment
  • Prospect Capital And Required Returns [View article]
    Yes? That, I'm very clear on. I'm also very clear on how without Echelon TI was .33 completely covering this quarters dividend. Are you not clear on this Gary? I can't quite get your statement to my comment. My apologies if you are agreeing with facts or just missed how PSEC still covered the dividend without Echelon. I feel people are in love with hating this stock instead of working with facts which creates assumptions and opinions and even math mistakes and choosing to pontificate NII to validate their opinions disregarding TI. Let's get this clear... I like Buzz for his articles... I'm very interested in actual facts and not the assumptions when presented. I feel too much information is left out or overly focused on to validate personal views from all writers both for and against PSEC. I would find the articles more of value if they would allow us our ability to think for ourselves. It is occurring to me how many investors are just lost and follow blindly opinions and even blame the writers. Buzz is courageous for even taking this on. Personally, I'm not in his opinions many times, but I appreciate his willingness to continue greatly, and I would like more focus to be accurate and comprehensive. I comment to try and create more focus on facts and less of these opinions and misconceptions formed from bias. However, I'm beginning to be a bit hopeless about having this occur, not from Buzz, more from commentators trying to route him on to increasing his opinion as if they are unable or willing to form one of their own without their leader.
    Nov 22, 2014. 12:36 PM | 1 Like Like |Link to Comment
  • Prospect Capital And Required Returns [View article]
    Personally I appreciate just the facts mam. Very good in my opinion in this article. If there was something not shown by the facts then we'd have to question the opinion strongly. What specific facts are they based on? If not based on facts then it is gossip and I will not base my investment decisions on that.
    I would like to see mentioned about the difference between NII and TI covering their dividend. I don't have enough experience in this area to have a strong opinion about it. It currently looks as if PSEC covers it's dividend this quarter fully with TI and not from special events. The positives and negatives in that area would be a great place to start. But, definitely base the opinions on direct facts please. We get enough opinions (gossip) from the commentators.

    Thank you for this article the facts are strongly appreciated.
    Nov 21, 2014. 03:01 PM | 1 Like Like |Link to Comment
  • The Case For Navios Maritime Partners' Stock Buybacks [View article]
    Good Article though! However, I would rather them keep the dividend the same or better. I appreciate your evaluation of the intrinsic value although maybe a little too positive without recognizing a declining cash flow through the past 3 years instead of just averaging it. But, thank you.
    Nov 18, 2014. 11:32 AM | Likes Like |Link to Comment
  • Prospect Capital's Challenges And Opportunities [View article]
    Finally, thank you. Good job. I love the history lesson in particular.
    Nov 18, 2014. 11:19 AM | 2 Likes Like |Link to Comment
  • Prospect Capital And BDC Expenses [View article]
    Nope, not devoted at all. Just extremely tired of PSEC bashing without real facts such as dividends being covered by TI even without the special event. ATM being blown out of proportion with not taking in managements reasoning of needing capital to reduce interest cost. Without all the facts it's pure gossip instead of facts! I would love true value in these articles instead of waking up to a new bashing with incomplete information which drove me to reply finally. Normally, I would rather just watch everyone run and do my own due diligence. I am long PSEC, but truly I like some other BDC's better for (safety?), however adding a little yield is my gamble. If I loose I'm willing to pay the price. But, scaring investors because you wish to only talk about the negative gossip instead of providing facts. Not okay in my book. Easy to develop a following with bad news, gossip, and opinion. Very difficult to develop a following with just facts including all the relevant facts you can muster especially from management too. If you want good articles, then it is important to critic the writer, but also appreciate them for at least writing. I think Buzz is good, but I certainly don't base my investment choices off of him, or anyone else for that matter. Most of it is noise, but you can catch a good drift here or there to follow up on for yourself. I would not have known so much about this stock's business without all this controversy, or any of the writers contributions which I highly appreciate. Best of gambling to you.
    Nov 18, 2014. 11:10 AM | 9 Likes Like |Link to Comment
  • Prospect Capital And BDC Expenses [View article]
    Guardian if you listened to the earnings call they specifically stated they needed equity to drop their new borrowing cost 50bp. That was their reason for the ATM. I figure it's a good move. Possibly this addresses your concern about competition causing yield compression. It sounds like they are tying to work with that. But, do your own due diligence.
    Nov 18, 2014. 10:46 AM | 1 Like Like |Link to Comment
  • Prospect Capital And BDC Expenses [View article]
    Alright jrx. I'm with ya, hang in there. Writing anything positive for this stock will get you flack. I'm not quite as optimistic about it, but I don't like articles which keep leaving out Taxable Income being discussed. That is a great omission, and makes me not trust the author as much! There is a declining book value that I do worry about, but so far the dividends is outpacing it. I would like to see an increase in book value however as well. Good luck to all investors/gamblers, lol.
    Nov 18, 2014. 10:22 AM | 3 Likes Like |Link to Comment
  • I Don't Care About A Net Asset Value Decline... Prospect Capital Is A Strong Buy [View article]
    Could you list the core problems?
    Nov 14, 2014. 10:23 AM | 2 Likes Like |Link to Comment
  • I Don't Care About A Net Asset Value Decline... Prospect Capital Is A Strong Buy [View article]
    Ugh... while I don't agree with the information above being a reason to buy PSEC at all...

    First of all BDC's being driven down is not because interest rates might go up at any particular speed. Please don't listen to that hoopla if you are new to investing. It's because credit is not as tight as before and BDC's now have more competition at lower rates and their loans are being cashed in from higher rates and they need to make loans at lower rates to be competitive and no one knows if they can do this and maintain the dividends at these levels, or good quality loans at these levels. Their is fear they may even stray to less quality loans to capture income trying to support their dividend. It seems all BDC's are under this pressure to some degree. This is where management comes in from my book. Who you gonna call? GBs...

    PSEC used the ATM to decrease 50bps their cost of loans which makes them a bigger spread on those originations however there is a covenant about how much equity they need and I'm assuming they now need to continue the ATM ability to keep that covenant. I don't like the ATM below book either, but I do like the 50bps drop which allows them to be more competitive. I'm not sure how that will balance out, but I hope management ran those numbers.

    I can understand the spinoffs from a business point of view. Everyone loves to hate this stock. So, the ATM will continue to be unpopular and dilute the advantage as long as prices are below book. I don't see the price of this stock going up over book in this environment for quite sometime. I think there is a hope for management that if they spinoff some of the businesses by themselves they could engineer an increase in value with the price recognition of these businesses individually. It also allows them to invest more in these areas without indulging a higher percentage of non BDC business and ruining their BDC status. They can't convince people the stock itself is worth more, but they may be able to convince people the individual businesses are worth more separated from the BDC business, and they could use that valuation increase to gain more equity instead of the ATM potentially, and they could be less reliant on share value of PSEC alone to increase their equity. Which if worked I feel would be great.

    Personally, I feel it shows management is active and doesn't just sit around being a victim. I don't know if it will work, but at least it's a shot. I understand it, unlike most commenters above whom seem completely unaware of it by not representing this information. In my opinion if you don't understand these reasons then it's best if you don't invest in this company. I'm long PSEC and reinvesting the div. I will continue this until either BDC's show they are no longer viable in general, or the company totally blows my confidence. They did survive the downturn which is a plus, however they did drop their dividends unlike other BDC's I trust more whom didn't. This company I allocate a bit of my play money to increase the overall percentage return.

    I am not of the business haters club which so often loves to dominate these reviews about PSEC. Personally I would love some real quality discussions on both the positives and negatives about individual stocks when they come up and not all this football game responses.

    Thank you
    Nov 13, 2014. 11:33 AM | 9 Likes Like |Link to Comment
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