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koleffstephan

koleffstephan
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  • How Risky Is Prospect Capital? Part 1 [View article]
    sme20: I do appreciate the wishes of "good luck" and I hope that reversion to the mean does not reap it's head with your investment of the BDC stock MAIN selling at a 46% premium to it's NAV.
    Jul 14, 2015. 04:24 PM | Likes Like |Link to Comment
  • How Risky Is Prospect Capital? Part 1 [View article]
    sme20: Management has said that the spin-offs have been delayed because of regulatory considerations mostly due to their filing the spin-offs as confidential filings which require more time, so . If you (sme20) don't trust management's explanation for the delays and if you don't trust management's valuation of their portfolio (despite PSEC management using a third party to value the portfolio) that is your prerogative and and hence your selling your PSEC shares at a loss. BDC Buzz has removed several of my comments - so I disagree with your commentary that "BDC Buzz has never acted in a way which I think he would look to remove comments - he generally accepts them and responds as to why he agrees or disagrees." As to your question of "why it would be off the wall that PSEC assets may be inflated," I would respond that selling 4 investments at a loss to recoup some money does not mean that ALL the assets are overvalued or that any other assets are overvalued. It just means that those assets they sold were sold at a loss. I ask you rhetorically, "Why is it off the wall to state that PSEC's portfolio is valued correctly and appropriately not only by PSEC management but also by the professional third party evaluators that are trained to make such assessments of valuation?" I don't look "to blame PSEC management" or anyone else - including BDC Buzz - for the responsibility of my investment in PSEC. BDC Buzz has a negative bias on PSEC and when I write commentary to him which are contrary of and to his writings, he looks to call SA and have my message posts removed within 5 minutes of my postings. sme20 - this might be a little strong for you - since you may have lost money on PSEC - but BDC Buzz is a writer not a researcher and no researcher has to purchase stocks for "research purposes" to perform research on those stocks. Sorry for your loss on PSEC but I look forward to receiving my PSEC dividend this month and again and again and again and have no reason to being sell my shares anytime soon.
    Jul 14, 2015. 04:01 PM | Likes Like |Link to Comment
  • A Seeking Alpha Exclusive In-Depth Interview With Prospect Capital President Grier Eliasek [View article]
    commentator 1: Yes, I agree with your opinion that Zack Galler's commentary is self-serving. Calling PSEC's governance "governance trainwreck," as well as saying "Anyone who bothered to pay attention to what I wrote managed to avoid a 40% permanent loss of capital," is pure self-serving at it's best to me. I guess the CEO of PSEC, Barry, now owning or having paid more than 50 million dollars worth of PSEC stock, since it's inception as a public company, since 2004, is a harbinger of "more great leading indications of material problems" with the company. I guess by the time Barry owns 100 million dollars worth of PSEC stock, the company should be bankrupt. Listen to Zack Galler in the future - you could have missed out on all of the dividends that PSEC has doled out and avoided the paper losses of continuing to hold the stock. Sounds like a plan.
    Jul 14, 2015. 09:34 AM | Likes Like |Link to Comment
  • A Seeking Alpha Exclusive In-Depth Interview With Prospect Capital President Grier Eliasek [View article]
    New Low Observer: That has been my one concern/question about PSEC that you posed rhetorically. Therefore, I have a stock price technical concern (not a fundamental company concern) insofar - as you said - will PSEC go further down in stock price should the stock market begin a correction or significant downfall? Of course, the answer is only knowable in hindsight, but anyone involved in trading or investing knows that technicals influence stock prices in short and medium time frames and I think most if not all PSEC investors share that concern (irrespective of whether PSEC continues to pay the dividend) in light of the fact that the stock market is at or close to all time highs and PSEC has not followed that same trajectory.
    Jul 14, 2015. 09:06 AM | Likes Like |Link to Comment
  • How Risky Is Prospect Capital? Part 1 [View article]
    jaxgab: You are right on the money with your message post and commentary and it sounds like you "are on" to something - as it relates to BDC Buzz's "research" writings on PSEC.
    Jul 11, 2015. 10:43 PM | Likes Like |Link to Comment
  • How Risky Is Prospect Capital? Part 1 [View article]
    alboff: Be careful. You message post is "right on the mark," but it would surprise me if you didn't start to receive message posts (very soon) from the MAIN cheerleaders on the PSEC message board (BDC Buzz and others) about how you are just ""writing about sour grapes," because PSEC is a loser and the management is greedy and they cut the dividend twice already, and management can't be trusted and they are another Allied Capital in the making and other nonsensical stuff. It's hard to put much value in the writings of an author - not a "researcher" - who purchases stocks for "research purposes." Alboff, have you ever heard of a stock market researcher who has to purchase stocks for research purposes? No one has to purchase a stock or many stocks to perform research on those same stock(s). But, have no concern insofar as the writings of BDC Buzz do not make the stock price of PSEC or any other BDC stock go higher or lower.
    Jul 10, 2015. 06:19 PM | Likes Like |Link to Comment
  • How Risky Is Prospect Capital? Part 1 [View article]
    esquierman: I very much agree with your caution concerning "crowd wisdom" and try to stay away as far away from the crowd as possible. Like Warren Buffet has often said, "In the short run, the stock market is a voting machine and in the long run it is a weighing machine." Reading and utilizing the information in this article is "group think" and "crowd wisdom" your advise to the reader to "be careful" with it, is right on the mark.
    Jul 10, 2015. 06:11 PM | Likes Like |Link to Comment
  • Prospect Capital And Risk-Adjusted Returns [View article]
    MoFanatic: Yeah. Right. You are a MAIN cheerleader on the PSEC message board. I am not obsessed with MAIN - I leave that you to you, my friend. I simply counterpoint or exhibit "deflection" when it is appropriate and only response to the "cheerleaders of MAIN." I am a PSEC message poster and that is why I post on the PSEC message board. Can't say the same for you.
    Jul 5, 2015. 05:57 PM | Likes Like |Link to Comment
  • Prospect Capital And Risk-Adjusted Returns [View article]
    MoFanatic: "I haven't seen anyone bringing MAIN into the PSEC conversation but shills." Really? I guess you did not read this article that ColoradoWealth Management wrote whereby he specifically talks about Schwab Dividend Mutual Fund and MAIN BDC even though the article is entitled "PSEC and Risk-Adjusted Returns." Lots of "obsession with MAIN BDC" on the PSEC message board "but I ain't one of em."
    Jul 5, 2015. 08:38 AM | 1 Like Like |Link to Comment
  • Prospect Capital And Risk-Adjusted Returns [View article]
    incredulous123: Correction: No capital losses unless you sell. PSEC investors are looking for high dividend income and no interest in selling until if and when there time horizon for investing changes - got it. Dividends therefore are funding many and much purchases of quality life (education for children, homes, cars, etc..) all the while PSEC investors holding their shares.

    MAIN investors: "Averaging all the way up." Thanks but no thanks. No realized capital appreciation and MAIN dividends are "simply adding to paper gains." Got it.
    Jul 4, 2015. 08:55 AM | 1 Like Like |Link to Comment
  • Prospect Capital And Risk-Adjusted Returns [View article]
    Paul Grimmer: "Welcome to my world." I too - like you - bought PSEC for the dividend and I too - like you - continue to buy it and have been purchasing shares at these prices too. I was lucky enough to purchase some shares back in 2009 when the stock traded as low as $7.19/share but PSEC did not trade at that stock price for too long so I was not able to purchase as many shares as I wanted to. This time, I have been able to purchase several thousand shares at prices of $7.29, $7.62, and $7.42 per share. I believe that these prices represent good value (otherwise I would not have purchased the shares to begin with) - especially in comparison other BDC stocks. Glad that you too don't pay much attention to the MAIN cheerleader/message posters that post on the PSEC message board. Like you, I have no problem with message posters posting on the merits or perils of investing in PSEC stock (points/counterpoints) but most of the message posters counterpoints are - paraphrasing - "PSEC is a ponzi scheme because the management team makes so much money and they are just simply buying PSEC shares with some of the exorbitant fees that they make,"; "Why would would buy PSEC stock at a 25% reduction in NAV when you can purchase MAIN at at 44% premium to NAV which is simply a reflection of MAIN quality management versus greedy PSEC management,"; and the list goes on and on.
    Jul 4, 2015. 08:46 AM | 1 Like Like |Link to Comment
  • Prospect Capital And Risk-Adjusted Returns [View article]
    Colorado: Just remember that your articles don't "rile up the PSEC bulls" because not much - if any credence - is placed on your articles that you write about PSEC. However, I will say that PSEC long term investors are "grateful" to you for any involvement that your articles may have in causing PSEC to be sold down in price by PSEC traders allowing investors like myself to continue to purchase PSEC stock that these prices. So, if you want to pay $35-38/share in Schwab to receive $1.20/year in dividends versus paying $7.18-$8/share in PSEC to receive $1/year in dividend, then please "pass the soap" as I am rather enjoying all of the "good lather" that you are dishing out. Keep em coming.
    Jul 4, 2015. 07:49 AM | Likes Like |Link to Comment
  • Prospect Capital And Risk-Adjusted Returns [View article]
    Guardian 3981:

    Comparing a low cost index dividend fund like SCHD to a much higher dividend payout stock like PSEC is again, comparing apples to oranges. An investor looking to purchase PSEC or any individual stock is not looking to remove "individual security risk," otherwise they would not buying an individual stock to begin with - the would be buying a mutual fund (like the Schwab Dividend Fund). Secondly, if we are comparing the amount of dividend payouts of PSEC vs Schwab, taking into account how much the share price is of each holding (PSEC vs Schwab) costs to receive that amount of dividend, PSEC "blows away" Scwab. The only "ignorance" demonstrated is by writers and message posters who think that getting or receiving $1.20/yr in dividends (Schwab) and paying $35-$38/share to get that dividend is a better deal than getting $1/year in dividends (PSEC) and paying $7.42/share to get that dividend. I guess this ignorance is what also keeps people reading articles like the one written by this author and then going out and purchasing the Schwab Dividend Fund and receiving the whopping 2.4% dividend payout (quarterly) versus going out and purchasing PSEC and receiving 12-13% dividend payout - monthly.
    Jul 4, 2015. 07:40 AM | 1 Like Like |Link to Comment
  • Prospect Capital And Risk-Adjusted Returns [View article]
    BigAI70:

    Yes, I agree with you. "Main's management would have to be stupid to buy back stock when their stock trades so much above NAV." I'll give you another one: "Investors would also have to be stupid to buy MAIN stock when it is trading so much above NAV."

    How about another Title worthwhile Seeking Alpha Article: "Who has a higher dividend payout than PSEC based on percentage of share price for the last 10 years?"

    And yes, I further agree with you, if I were a "new" investor looking to purchase BDC stocks, I would be looking to purchase BDC stocks that trade below NAV - like PSEC.
    Jul 4, 2015. 07:20 AM | Likes Like |Link to Comment
  • Prospect Capital And Risk-Adjusted Returns [View article]
    incredulous123: I make a gentleman's bet that MAIN does not ever buy back a single share either.
    Jul 3, 2015. 01:45 PM | 1 Like Like |Link to Comment
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