AMGN, BIF, BTZ, CRM, DCOMP, EAF, ED, GASS, GD, GIS, GLUU, LMT, TRST, UBSI/Schwab Taxable Bond/CD Positions

Economy: 

ADP estimated that 123,000 private payroll jobs were lost last month. ADP National Employment Report The losses were concentrated in industries adversely impacted by the strong resurgence in Covid infections after the Thanksgiving holiday. 

This will be the last BLS jobs report for the Trump presidency. Employment Situation Summary  The government estimated that 140,000 jobs were lost in December. However, the BLS also revised up its October and November numbers by 135,000 more than its previous estimates. 

The ISM services PMI for December rose to 57.2%, up from 55.9% in November. The new orders component rose to 58.5 from 57.2. December

++++++

Markets and Market Commentary: 

Jeremy Siegel: Dow should hit 35,000 this year, but warns of setback

China says it will respond to delisting of telecom giants

Bill Gross says stock market is 'bubblicious' and that 'Robinhood and momentum rule' - MarketWatch The gist is that the central banks have artificially pumped up stock multiples into bubble territory. What Bond King Bill Gross Is Buying Now | Barron's (Gross favors buying natural gas pipeline stocks. He is currently recommending Magellan Midstream Partners (MMP), BP Midstream Partners (BPMP), and Enterprise Products Partners (EPD). I will not own a MLP. I do own stock in 5 pipeline corporations: ENB, KMI, OKE, PBA, and TRP.  

Jeremy Grantham refers to the current market as an epic bubble. Waiting for the Last Dance (First Paragraph quote: "The long, long bull market since 2009 has finally matured into a fully-fledged epic bubble. Featuring extreme overvaluation, explosive price increases, frenzied issuance, and hysterically speculative investor behavior, I believe this event will be recorded as one of the great bubbles of financial history, right along with the South Sea bubble, 1929, and 2000.")

I would generally agree that momentum trading, commission free trades, massive money creation, and near zero interest rates have all contributed to the stock and bond market bubbles.  

10 Biden tax plans that will sail through a Democratic-controlled Senate --- and how to prepare for them - MarketWatch The corporate tax cut was passed with a bare majority under what is called a budget reconciliation process that avoided the filibuster which requires 60 votes for closure. Full Details and Analysis: Tax Cuts and Jobs Act - Tax Foundation; What is reconciliation? | Tax Policy Center That tax bill passed 51 to 49 in the Senate. U.S. Senate: U.S. Senate Roll Call Votes 115th Congress - 1st Session The Democrats can now do the same assuming republicans do not cancel the Georgia runoff election results.   

Citi downgrades U.S. stocks, predicting that global equities will be flat in 2021 except in these key markets - MarketWatch The firm recommends overweights in the U.K., Emerging Markets, energy, healthcare, IT and materials. 

Bond Yields’ Jump Could Be a Big Problem for Stocks | Barron's The 10 year treasury yield has risen from .52% (8/4/20) to 1.13% yesterday. While that is a huge percentage move, the 1.13% yield is not going to entice Stock Jocks to learn about how to buy a bond. For me, a 1.13% yield on a ten year bond is as meaningless as .52%. 

Treasury Yield Curve January 2021

If the rise continues, it may have some impact on those who value stocks based on discounting future earnings by the 10 year yield, causing them to lighten up on stocks. 

The Fed and other central banks have proven over the past 12+ years that they can control interest rates throughout the maturity spectrum.  Yields are still well below the current inflation for short maturities and below the likely annual inflation rate for all other maturities. 

When inflation was running hot after WWII, the FED managed to keep the 10 year treasury rate from rising. It was only after they stop trying to contain the rise that 10 yield rose to over 4% from around 2% and never rising above 2.5% Before the Accord: U.S. Monetary-Financial Policy, 1945-51 As noted in that article, inflation was hot during that period: 

Inflation rates:

Consumer Price Index, 1913- | Federal Reserve Bank of Minneapolis

The rise in rates in the early 1950s coincided with a robust economic recovery and the start of a long term bull market in stocks (and a long term bear market in bonds that lasted approximately 32 years). 

The bottom line is that the historical evidence indicates that central banks can suppress interest rates below the inflation rate for an extended period of time. 

Excess money creation on steroids is not producing inflation since the money is not needed in the real economy and has instead led to inflated financial asset prices. 

M2 Money Stock (M2-St. Louis Fed

Velocity of M2 Money Stock-St. Louis Fed

While the Fed denies that it is monetizing the federal debt, there is no other way to look at it except debt monetization IMO.  And there is a powerful incentive for the FED to suppress interest rates given the deteriorating financial condition of the U.S. government.   

System Open Market Account Holdings of Domestic Securities - FEDERAL RESERVE BANK of NEW YORK (almost $6.7 trillion in owned treasuries and mortgage backed securities)

Federal Debt Held by Federal Reserve Banks-St. Louis Fed

Debt to the Penny | Fiscal Data | U.S. Treasury:

$27,683,250,886,478.03 as of 1/7/21 

 

++++

Covid-19 Updates: 

The U.S. Covid pandemic remains "under control" in TrumpWorld:

Throughout 2020, Dangerous Don downplayed the seriousness of the pandemic. Timeline of Trump's COVID-19 Comments - FactCheck.org 

Tens of millions view him as honest and a tell it like it is person. As a direct result of that difficult to comprehend belief, reinforced by Fox "news" and other Trump favored media outlets, millions viewed the pandemic as a hoax or so inconsequential that wearing masks and social distancing was unnecessary. And that led to more infections and deaths. 

Even now, Disgusting Don is downplaying the pandemic, recently calling the death toll "fake news": 

He also complained about the favorable opinion people had about Dr. Fauci: 

That is about all that he had to say last week about the pandemic. Most of his comments involved efforts to undermine the democratic process which is his most important goal. 

U.S. COVID death toll tops 350,000 as hospitals fill up and vaccine rollout struggles to keep up - CBS News

With Trump a no-show, Mar-a-Lago guests left to party maskless with Rudy Giuliani and Vanilla Ice 

Senator Mitt Romney (R-Utah) slams vaccine distribution roll out: 'As incomprehensible as it is inexcusable' 

People without symptoms spread virus in more than half of cases, CDC model finds - The Washington Post

+++

Dictator-Want-To-Be Don the Con and His Republican Enablers:

Trump Inspired Assault on the Citadel of American Democracy: 

On 1/6/21, armed Trumpsters successfully stormed the Capital and occupied the chamber, forcing a suspension of the electoral vote tally.  4 dead after rioters stormed the halls of Congress to block Biden's win; Who Was Ashli Babbitt? Woman Killed in Capitol Embraced Trump, QAnon - The New York Times

Capitol Police officer dies from injuries suffered during riots - ABC News He was struck by a fire extinguisher. In TrumpWorld, the officer was not murdered by a Trumpster but an Antifa member who had infiltrated the mob to make them look bad. Fact checking Republicans' unsubstantiated claims that Antifa infiltrated Capitol riot (the claims were based on a false story published by the Trumpster paper, Washington Times, that claimed a facial recognition firm, XRVision, had identified Antifa supporters in the crowd. The firm denied that false claim stating that he had instead 'identified two Neo-Nazis and a supporter of the radical right-wing conspiracy QAnon, not members of Antifa."

This was the culmination of the false statements about election fraud made by Trump, thousands of republican politicians across the country, and their media outlets including the Fake News networks Fox, OANN and Newsmax. 

The most immediate trigger for the assault made against the citadel of democracy were comments made by Trump, Giuliani and Don Jr. shortly before the coup attempt Trump incites mob in violent end to presidency  

Trump made this statement to the mob: "We're going to walk down to the Capitol. And we're gonna cheer on our brave senators and congressmen and women. And we're probably not going to be cheering, so much for some of them, because you'll never take back our country with weakness, you have to show strength and you have to be strong...  If you don’t fight like hell, you’re not going to have a country anymore." Donald Trump Speech "Save America" Rally Transcript January 6 - Rev His entire speech filled with the usual demonstrably false claims about election fraud designed to incite the mob who were already filled with rage beforehand.  

Giuliani told the crowd to "wage trial by combat". 

Donald Trump Jr. fanned the false claims of fraud and then made this statement: "The people who did nothing to stop the steal -- this gathering should send a message to them." 

Senator Josh Hawley (R-MO) was photographed giving the Trumpster mob a raised fist before they stormed the capital. Josh Hawley made clenched-fist salute to pro-Trump mob before riots 

Hawley is one of the republican ringleaders who attempted last week to overrule the election results. He thinks that will help him become President in 2024. Hawley's salute is not quite the "Sieg Heil!" since he needed to do it with an open fist and his palm turned down. It is close enough for me however.  

Simon & Schuster Cancels Plans for Senator Hawley’s Book - The New York Times Another publishing house will pick it up. 

National Association of Manufacturers calls DC protests sedition (The National Association of Manufacturers called for serious consideration be given for Trump's immediate ouster under the 25th Amendment which of course will not happen even though he was always unfit to be President within the meaning of that Amendment. Section 4: 25th Amendment U.S. Constitution)

Trump supporters storm U.S. Capitol, shots, tear gas fired - The Washington Post (1/6/21)(“USA! USA!” chanted the would-be saboteurs of a 244-year-old democracy." One message written on a door rad "MURDER THE MEDIA". The Trumpsters smashed windows and vandalized offices. For hours, Trump made  "little effort to quell the violence he had helped instigate, finally sharing a video at 4:17 p.m. in which he told people to “go home” — while continuing to promote the lie that he had won the election.") 

"The president had appeared to White House aides to be enjoying watching the scenes play out on television." Trump Is Said to Have Discussed Pardoning Himself - The New York Times

Trump Downplays Insurrection in video -NPR After the mob attack, Trump released a video making these statement: "We had an election that was stolen from us," claiming he won in a landslide. Donald sympathized with the mob telling them he knows their pain and hurt and to "go home in love and peace". 

There is an extremely  strong and growing base of authoritarians in the GOP who will accept the most outlandish conspiracy theories. 

Capitol building breached, Pence evacuated: USA Today (1/6/21); 

US Capitol: Police clearing pro-Trump mob from building after rioters stormed halls of Congress 

Congress evacuated as pro-Trump rioters storm Capitol, halting declaration of Biden victory 

Washington Post: In call, Trump demands Georgia official 'find' votes to tilt election 

Obama: GOP 'fantasy narrative' about election spurred today's violence

Senator Mitt Romney (R-UTAH): 'What happened here today was an insurrection, incited by the President'

‘Be There. Will Be Wild!’: Trump All but Circled the Date - The New York Times

Michelle Obama calls on Facebook, other platforms to ban Trump forever

Barr condemns Trump's actions during Capitol riots

After the Trumpsters attacked the capital which they now blame on Antifa, and it was clear that Biden would replace Trump, some  republicans even managed to acquire a backbone, sort of, and condemned the Trump inspired attack but did not go so far of course as to actually assign any blame to Trump (Romney being one of a few of exceptions) or themselves for peddling demonstrably false statements and narratives about the election.  

The responsibility for the attack goes beyond just Trump to most republican politicians and their servile propaganda media outlets who aired the baseless election fraud claims and gave them credence. 

{Do not expect a mea culpa from Sean Hannity, Tucker Carlson, Laura Ingraham and the rest of the ilk at Fox. You would have only had to watch the first few minutes of Hannity's program last night to come to that conclusion. There will be no mea culpa either for the relentless campaign to downplay the pandemic. Hannity is what I would expect for an ignorant, demagogic far right person who only completed high school is elevated to a 1 hour evening program on national television watched by millions. How Far Will Sean Hannity Go? - The New York Times (11/28/17 article)}

Trump's Falsehood-Filled 'Save America' Rally - FactCheck.org

As riot raged at Capitol, Trump tried to call senators to overturn election 

There is certainly a double standard on how police responded to the Trumpster riot compared to prior peaceful protesters near or at the capital. Police criticized for double standard after Capitol riot; Capitol security failure raises question of double standard after Black Lives Matter crackdown - CBS News The police made only a few arrests.   

Twitter permanently suspends Trump's account - MarketWatch

Capitol riots: Trump supporters threatened, attacked reporters - The Washington Post

At party retreat far from D.C. turmoil, Republicans still sing praises of Trump - The Washington Post (1/8/2021)  In Capital, a G.O.P. Crisis. At the R.N.C. Meeting, a Trump Celebration. - The New York Times (1/9/21) The GOP remains Trump's party. 

45% of republicans support the attack on the Capital. Poll: One-fifth of voters, almost half of Republicans, agree with storming of US Capitol; 45% of Republicans approve of the Capitol riots, poll claims | The Independent

The republican party is not a conservative one.

Trump's Pressure to Change the Voting Results in Georgia: 

Trump Pressured Georgia Official to ‘Find’ Enough Votes to Overturn Election ("President Trump demanded that Georgia’s Republican secretary of state “find” him enough votes to overturn the presidential election, and threatened him with “a criminal offense,” during an hourlong telephone conversation with him on Saturday".) The conversation was recorded. 

Delusional Don claimed that he carried Georgia by "hundreds of thousands of votes". When the republican Georgia Secretary of State stood by the certified election results, confirmed by several recounts including a hand recount of paper ballots, Don the Authoritarian threatened him and his lawyer with criminal prosecution: 

Trump: " That’s a criminal offense. And you can’t let that happen. That’s a big risk to you and to Ryan, your lawyer. That's a big risk”.  Full transcript: Trump's audio call with Georgia secretary of state Brad Raffensperger 

Coming from the President of the United States, who has the power to implement the threat through a compliant DOJ, the threat becomes far more serious and sinister. 

In Trump's America, the refusal of the republican Secretary of State to find enough votes for Trump so he could win the state was the crime, furthered buttressed in TrumpWorld by Raffensperger’s unwillingness to accept Trump's baseless conspiracy theories as true.  

Trump’s call to Georgia secretary of state may have violated federal, state law - The Washington Post; republished at MSN: 

Did Trump break the law in his call to Georgia’s secretary of state? Some lawyers say yes; 

Trump Call to Georgia Official Might Violate State and Federal Law - The New York Times 

In Georgia, Trump says he'll 'fight like hell' to hold on to presidency - MarketWatch

Trump could be indicted by a grand jury for that call, and a court would not dismiss the charge IMO. The decision on whether Trump committed a felony beyond a reasonable doubt would be left to a jury who would probably deadlock. Trump will not be charged because he is in effect above the law.  

In the years and decades to come, I believe that more information will come to light establishing Donald's criminal activities using a "clear and convincing" evidentiary standard rather than guilt beyond a reasonable doubt. The evidence will never be accepted by his his cult members, numbering in the tens of millions, no matter how reliable and cogent.  What can you say about the 79% of republicans who believe Donald is honest? Question 9--National (US) Poll-September 23, 2020 About the same number of republicans believe that the election was stolen and view Donald as a role model for their children.  

AP Fact Check: Debunking Trump's false claims in Georgia call- MarketWatch

What Republicans Are Doing Is Worse Than Treason-The Atlantic They have become completely untethered from what has actually made America great. 

The Republican Insurrection to  Cancel the Biden Victory Petered Out After the Mob Attack on the Capital: 

The enemies of American democracy, led by Trump, have branded themselves again as such when refusing to accept the election results last week. 11 Republican senators push to delay certification of election results; Cruz, cadre of other GOP senators vow not to certify Biden win without probe of baseless voter fraud claims - The Washington Post They were not satisfied with the certified election results or their failure to overturn the certified results through over 60 court challenges. 

Which Members of Congress Objected to Certifying Biden’s Victory? - The New York Times Several republicans who had announced their opposition before 1/6, providing fuel for what would soon happen, decided to withdraw their opposition after the Trump inspired mob assault.  Both Tennessee senators, Marsha Blackburn and Bill Hagerty (both 100% pure Trumpsters) were among those insurrectionists. Six republican House members for Tennessee decided to continue their insurrection against democracy: Tim Burchett; Scott DesJarlais; Chuck Fleischmann; Mark E. Green (my representative); Diana Harshbarger and John Rose.

Before 1/6/21, Pence endorsed this last effort to overturn the election results and make no mistake that is exactly what the republicans attempted to do last week and and for the past two months. Pence Welcomes Futile Bid by G.O.P. Lawmakers to Overturn Election-The New York Times; republished at MSN -Pence Welcomes Bid to Overturn Biden’s Election as Republican Senators Join (noting that neither Pence nor the republican seditionists in the House and Senate have made a single specific allegation of fraud using credible evidence that would be admissible in a court; nor have they recognized that the certified election results were in many cases verified by audits and hand counts of paper ballots (which they reject since they failed to confirm their fact free conspiracy theories); and that the courts, including many republican judges, rejected almost 60 court challenges filed by republicans seeking to reverse Trump's election losses.) 

Trump claimed again last Monday that Pence has the authority to reject certified election results. That is true is Trump's America where the republican VP has the power to elect a republican President and VP forever. Pence faces pressure from Trump to thwart Electoral College vote 

Trump: “All Vice President Pence has to do is send it back to the states to recertify, and we become president. We will never give up. We will never concede.”

If the democrats win, the republican VP just finds that the election was fraudulent, with no evidence required other than baseless conspiracy theories readily accepted and embraced by republican voters, and the VP just overrules the certified election results.

Having failed to have a court reverse the certified election results in several states and to thereafter empower republican controlled legislatures to choose the electors rather than the voters, which they were unable to accomplish, they now want a "commission" to decide the election within 10 days rather than the voters. 

Donald will frequently cite Fake News to buttress his baseless claims of election fraud. This tweet is just one of many examples from last Monday: 

There is no evidence for that claim. Trump's reference is to the conspiracy "network" OANN. Georgia Republican election official says Trump's false voter fraud claims undermine democracy; Georgia Election Official Debunks Trump's Voter Fraud Claims-NPR 

Trump pushed QAnon and 4chan-created conspiracy theories in Georgia call Trumpsters consider those baseless conspiracy theories to be facts. Facts rebutting the conspiracy theories are ignored or labelled Fake News. It is impossible to have a fact based discussion with them. It would be a totally futile waste of time to even try. 

Trump is the foremost spreader of baseless conspiracy theories in world history. 

Facts do not matter to most republicans and become particularly irrelevant when their political power is at stake. They have been in the reality of creation business for decades and will continue to spread baseless conspiracy theories and false information because it works so well for them.  

Anyone who believes that Donald is honest is already too far gone for rational fact based discussions.  

Trump's Fantasies Are the GOP's Future - The Atlantic (Anne Applebaum columns are always worth the time reading)   

Trump and Gohmert's election ploys prove Republican Party is now the anti-democracy party

Gohmert (R-TX) suggests ‘violence in the streets’ after judge rejects bid to force VP Pence to overturn Biden’s win 

America's Mad King is eating his own. Trump attacks No. 2 Senate Republican as the President turns on allies in his final days in office 

Republican-led Senate overrides Trump defense veto Trump's veto was just another obvious example of why he should never had been President.  

The 100% pure Trumpster Senator Tom Cotton (R-AK) announced that he will not join the effort to cancel the election results because it will not succeed. Arkansas Sen. Tom Cotton says he won’t join group of Republican lawmakers challenging Trump’s loss - The Washington Post 

Trump allies turn on lawyer Lin Wood after Pence execution tweets - Business Insider Lin Wood and his sidekick Sydney Powell have filed several frivolous lawsuits attempting to throw out election results that Trump does not like. 

Trump will be a permanent stain on America, but only because he was elected as President in 2016, though losing the popular vote, and received over 74M votes in his reelection effort even though it was obvious who and what he was. If the election was held today, I believe his total would be about the same, and those voters are still here.  

Trump is not now, nor has he ever been, a conservative but, instead, the antithesis of one.  I would say the same about most republicans. 

+++++++++++++

In this post, I discuss several purchases where I used Fidelity's new fractional share trading option to start positions in AMGN, CRM, GD, and LMT. This trading option allows Fidelity's customers to buy shares in dollar amounts. So far, I am using it only with stocks priced over $100 per share.  

Small ball is a risk mitigation trading strategy. The result is that my stock positions are a mile wide and an inch deep. 

Even with over 250 individual stock positions and several stock funds, my allocation to stocks is less than 10% of my total assets held in brokerage accounts.  

1. Small Ball: 

A. Started GIS (Schwab Taxable Account)-Bought 2 at $60; 1 at $59.3; 1 at $58.7; 5 at $58.92; 5 at $58.58:

Quote: General Mills Inc. (GIS)

Stock Information as of 1/8/2021: 

The TTM GAAP P/E is less than 15 at last Friday's closing price. 

I have placing buying on hold in this account until after I take the position in my Fidelity account up to 100 shares. I discuss adds in that account in Item # 1.B.  below. 

GIS SEC Filings 

General Mills: Brands overview

General Mills Inc. Interactive Charts

GIS Analyst Estimates

My most recent discussion can be found in this 12/19 comment. 

Last Blog Discussion: Item # 1.F. Bought 2 GIS at $47.88 (3/28/20 Post) 

GIS is one of the diminishing number of stocks that is currently price in my fair value range. 

Average Cost this account: $58.95 (15 Shares)

Dividend: Quarterly at $.51 per share

Yield at $58.95 =  3.46%

Last Ex Dividend Date: 1/7/21  (owned all as of in this account) 

Dividend Reinvestment: Yes at less than $65

5 Year Chart: 

GIS is currently in disfavor which is reflected in the chart. While earnings have been good, the Stock Jocks have in effect dismissed the better than expected earnings as a one-off event caused by the pandemic. 

Maybe they would like the stock more if the P/E multiple was over 100 and moving rapidly to 200. 

Last Earnings Report (Fiscal 2nd Q/E 11/29/20): General Mills Reports Fiscal 2021 Second-Quarter Results, summarized at General Mills shares rise after earnings and sales beat expectations - MarketWatch 

SEC Filed Earnings Press Release

The expensive Blue Buffalo acquisition appears to be a good one so far: "Second-quarter net sales for the Pet segment increased 18 percent to $460 million, including positive contributions from volume growth and favorable net price realization and mix.. . . Segment operating profit increased 48 percent to $119 million, primarily driven by higher volume, favorable net price realization and mix. . Through six months, Pet segment net sales increased 13 percent to $852 million. . . Segment operating profit increased 30 percent to $210 million, primarily driven by higher volume and benefits from HMM cost savings, partially offset by higher media investment."

To help pay for this acquisition, GIS did not increase its $.49 per share dividend after the purchase until increasing by 2 cents effective for the 2020 4th quarter payment GIS Dividend History 

I would expect pet food revenues to continue growing. One reason is that a lot of pets were adopted during the pandemic. During coronavirus, animal shelters don’t have enough dogs for the demand - The Washington Post; Americans are spending more money on their pets during the pandemic 

The GIS  Convenience Store and Foodservice business segment has been hurt by the pandemic with net sales declining "14 percent to $440 million, reflecting reduced away-from-home food demand related to the pandemic" This segment will see improved revenues and profits when the pandemic is just a bad memory compared to the pandemic impacted period. 

The cereal sales have been up during the pandemic and that may not hold when it is over. 

Outlook: 

General Mills says economic troubles will drive at-home dining even after the pandemic is over - MarketWatch

The Stock Jocks are IMO penalizing several packaged food companies for having good earnings reports during the pandemic period. Sure, revenues and profits may stagnate Y-O-Y starting in the second half of 2021, but that does not explain why the current price is less than the prices prevailing shortly before the pandemic.    

Earnings have been beating the consensus estimates: 

Other Recent Buy Discussions: Item # 5 A. Bought 2 GIS at $40.25, 2 at $39.45, 10 at $38.3 and 5 at $36.75-Used Commission Free Trades (12/29/18 Post)

Other Recent Sell Discussions: Item # 1.A. Eliminated GIS-Sold 27+ at $54.86 (3/21/20 Post)(profit snapshot = ($426.37); Item # 1.A. Sold 13 GIS at $55.02-Used Commission Free Trade (8/17/19 Post)(profit = $134.13); Item 1.B. Sold Highest Cost GIS lots at $51.69 (4/7/2019 Post); Item #2.A. Sold 10 GIS at $56.18-Used Commission Free Trade  (12/21/17 Post)

Broker Reports (available to Schwab Customers): 

Morningstar (12/18/20): 2 stars with a FV of $57 (noting that growth in pet sales will survive the pandemic with over 11M pet adoptions; otherwise the analyst focuses on Y-O-Y growth stagnation when comparing the 1st year after the pandemic with a full year of revenues during pandemic, which I view as irrelevant when valuing this company but is relevant to the Stock Jocks who are making decisions based on momentum rather than FV and rational valuations)  

Credit Suisse (12/17/20): Outperform with a $67 PT (while sharing the opinion that Y-O-Y growth will be difficult after the pandemic ends, the analyst believes that GIS, which has increased advertising for 3 years in a row, will do a better job than its peer in retaining new customers. 

S & P (12/7/20): 4 stars with a 12 month PT of $68 

Argus (12/31/20): Hold 

Realized Gains GIS-2007 to Date: $2,421.51. 

Snapshots of 2007 through 2017 round-trip trades can be found in Item 1.B. The largest single gain was $1,285.51 realized on a 52 share lot in 2016. There have not yet been any realized losses.  

B. Added to GIS (Fidelity Taxable Account)-Bought 4 at $58.88; 5 at $58.2 and 5 at $57.95; 5 at $57.5; 5 at  $57; 5 at $56.6; 5 at $56.4:

Average cost per share = $57.48

See Item #1.A. above. 

Average Cost this account: $57.48  (35 shares)

Yield at $57.48 = 3.55%

C.  Eliminated Remaining BTZ-Sold 37+ at $14.88:

Quote: BlackRock Credit Allocation Income Trust Overview-A Highly Leveraged Bond CEF

BTZ SEC Filings 

BlackRock Credit Allocation Income Trust (SEC Filing of holdings as of 9/30/20)

SEC Filed Semi-Annual Report for the period ending 6/30/20 

Profit Snapshot: +$149.05 (12/17 sell only)

Last Discussed: Item # 1.J. Pared BTZ-Sold Highest Cost Lots (6/13/20 Post)(profit snapshot = $31.09) 

Last Buy Discussion: Item # 2.E.  Added 5 BTZ at $11.19; 5 at $10.96; 5 at $9.7; 5 at $9.29; 10 at $11.43 (5/2/20 Post)

Leveraged: Yes, usually near 30% 

Leverage cuts both ways. Borrowing money to buy assets falling in price is not a desired method to pay for your nursing home expenses.  

Prior Discussions of leveraged CEF bond funds:  BTZ 5/8/17 Post; Update For Closed End Fund Basket Strategy As Of 8/14/15 - South Gent | Seeking Alpha (scroll to General Risk Discussion for Leveraged Bond CEFs)

Dividend: Monthly at $.0839 per share 

So far, leverage has worked with a robust rally in bonds and a decline in borrowing costs. The value of the bonds go up and interest income can rise due to the spread between the cost of borrowing and the interest payments received from bonds bought with low cost debt.   

Data Date of 12/17/20 Trade: 

Closing Net Asset Value Per Share: $15.64

Closing Market Price: $14.89

Discount: -4.8%

Average 3 year Discount: = 10.1%

Sourced: BTZ-CEF Connect (click "Pricing Information" tab) 

Other Sell Discussions: Sold 103+ at $13.4+ (5/8/17 Post) (contains snapshots of trading profits starting in 2010 through May 2017 = +$870.19); Item #1.B. (2/23/2019 Post); Item # 3.A. (4/4/19 Post)

Goal: Harvest the dividends and sell at a profit

D. Pared TRST-Sold 10 at  $6.72 (highest cost lot): 

Quote: Trustco Bank Corp.  (TRST)

TRST SEC Filings

Trustco Bank - Corporate Profile

Profit Snapshot: $7.75

Investment Category: Regional Bank Basket Strategy

Last Buy Discussions: Item # 1.E. Added to TRST-Bought 5 at $5.69; 10 at $5.6; 5 at $5.15; 15 at $5.23(10/3/20 Post); Item # 4.B. Item # 4.B. Restarted TRST- Bought 10 at $5.95; 5  at $5.83 (8/29/20 Post) 

New Average Cost per share this account: $5.44

Dividend: Quarterly at $.068125 per share ($.2725 annually)

TRST Dividend History-Nasdaq

Yield at $5.44 =  5.01%

Last Earnings Report (Q/E 9/30/20): SEC Filed Press Release 

"third quarter 2020 net income of $14.1 million or $0.146 diluted earnings per share, and $38.6 million or $0.400 diluted earnings per share for the nine months ended September 30, 2020."

Charge Offs: $21K. 

Coverage Ratio: 225.4%

Tangible equity to tangible asset ratio  =  9.76%

Average Residential Loans: Up $237.6M or 6.9% Y-O-Y

148 offices in New York, New Jersey, Vermont, Massachusetts, and Florida at September 30, 2020.

Sell Discussions:  Item # 2.B. Sold 125 TRST at $8.6  (11/2/19 Post); Item # 1.B. Sold 161+ TRST at $9.2+ (7/2/18 Post); Item # 2 Sold 100 TRST at $6.69 Update For Regional Bank Basket Strategy As Of 7/26/16-South Gent | Seeking Alpha; Item # 1 Sold 315+ TRST at $6.92 (1/11/15 Post); Sold 50 TRST at $7.29 (11/25/13 Post); Sold 308 TRST at $6.64 (10/28/13 Post)(largest gain at $549.47)

TRST Realized Gains to Date: $1,083.22

Purchase Restriction: Each subsequent purchase, other than through dividend reinvestment, must reduce my average cost per share.  

E. Pared BIF-Sold 10 at $11.08: 

Quote: Boulder Growth & Income Fund Inc. - A CEF

Sponsor's Website: Boulder Funds - Home

BIF SEC Filings

Holdings as of 8/31/20: SEC Filing (cost at $558.565M; value then at $1.235+B)

Last Shareholder Report: Semi-Annual Period Ending 5/31/20 

Profit Snapshot: $10

Last Buy Discussions: Item # 2.A. Bought 100 BIF at $10.08 and 10 at $9.85 (11/7/20 Post); Item # 1.H.  Restarted BIF (Fidelity Taxable Account)- Bought 10 at $9.26; 10 at $8.75 (4/4/20 Post) 

New Average Cost Per Share this account:  $10.06   (100 shares) 

Dividend: Quarterly at $.102 per share ($.408 annually)

For reasons discussed in prior posts, I view it as unlikely that this fund will pay out more than the regular distribution. The unrealized gains are huge but are not likely to be harvested to fund a dividend larger than the current quarterly one.  

Yield at $10.06 = 4.06%

Last Ex Dividend Date: 

Data Date of 12/18 Trade:

Closing Net Asset Value Per Share: $13.38

Market Price: $11.08

Discount: -17.19%

Sourced: BIF-CEF Connect (click "Pricing Information" tab)

BIF Realized Gains to Date:  $560.27

Prior Profit Snapshots: $550.27

Some Prior Sell Discussions: 

Item # 3.E. Eliminated BIF-Sold 156+ at $11.42 (12/18/19 Post);

Item # 3.C. Sold 50 BIF at $11.28 (11/13/19 Post); Item # 3.B. Eliminated BIF: Sold 116+ (2/16/17 Post)

The CEF Connect page has not been updated to reflect a significant change in leverage. Last November, BIF sold $225M in senior unsecured notes. Boulder Growth & Income Fund, Inc. Announces $225 Million Issuance of Senior Unsecured Notes 

"The 10-, 12-, and 15-year series will pay interest semi-annually at the rate of 2.62%, 2.72%, and 2.87%, respectively." 

I was very critical of this decision since the fund has maintained an unusually large cash position which stood at $149,880,927 as of 8/31/20, earning almost nothing: 

The fund is externally managed. The external manager is paid a fee based on assets. The incentive is consequently to increase assets. The fund has not yet reported its cash position shortly before the raising $250M through this debt offering. If cash was close to $150M, it is impossible for me to explain how shareholders will benefit from a $25M debt offering when and if the fund was already sitting on almost $150M of cash earning close to nothing. 

Even if the fund had already invested a good chunk of the $150M in cash, I would still be critical since now is not a good time IMO to raise $250M in debt to buy stocks. 

F. Bought 10 GLUU at $9.6; 10 at $9.4; 5 at $9.19; 5 at $9; 5 at $8.9: 

Quote: Glu Mobile Inc. 

Stock Information as of 1/8/21: 

Glu Mobile "is a leading developer and publisher of mobile games. Glu’s diverse portfolio features top-grossing and award-winning original and licensed IP titles including, Covet Fashion, Deer Hunter, Design Home, Diner DASH Adventures, Disney Sorcerer’s Arena, Kim Kardashian: Hollywood and MLB Tap Sports Baseball available worldwide on various platforms including the App Store and Google Play."  

The games can be downloaded for free. Revenues are earned "through “in-app-purchases,” with the balance of our revenue primarily generated by offers and in-game advertising."

In-App-Purchases Explained:

GLUU Analyst Estimates | MarketWatch (as of 1/1/20, the average non-GAAP E.P.S. estimate for 2021 was $.52 and $.64 for 2022) 

10-Q for the Q/E 9/30/20 

This is a new stock for me. 

Average Cost Per Share:  $9.30  (35 Shares) 

Investment Strategy: Lottery Ticket Basket 

Last Share Offering June 2020 at $9.25: Prospectus 

5 Year Chart: 

Last Earnings Report (Q/E 9/30/20): GLU managed to turn a GAAP profit in the 2020 third quarter. 

GAAP diluted E.P.S. +$.07

Free Cash Flow = $31.5M 

Cash = $318.1M

Revenue: Up 48% Y-O-Y

Glu Mobile Inc. (GLUU) CEO Nick Earl on Q3 2020 Results - Earnings Call Transcript | Seeking Alpha

The Stock Jocks responded positively to this report, with the stock closing at $8.79, up from a $6.91 close on 11/5/20 pr +27.21%. GLUU Historical Prices 

Revenues may have received a boost from stay-at-home, play-at-home. 

This company strikes me as a likely acquisition candidate.  

G. Bought 10 GASS at $2.10 and Sold 70 at $2.68: 

Buy: 

Sold 70 (another account):  

This kind of activity passes the time of day for the Old Geezer. 

Quote: StealthGas Inc.  (GASS)

"StealthGas Inc. is a ship-owning company primarily serving the liquefied petroleum gas (LPG) sector of the international shipping industry.  StealthGas Inc. has a fleet of 51 vessels. The fleet is comprised of 47 LPG carriers, including eight Joint Venture vessels and an 11,000 cbm newbuilding pressurized LPG carrier with expected delivery in the first quarter of 2021. These LPG vessels have a total capacity of 439,989 cubic meters (cbm). The Company also owns three M.R. product tankers and one Aframax oil tanker with a total capacity of 255,804 deadweight tons (dwt)."

StealthGas Inc. Profile | Reuters

GASS Analyst Estimates-MarketWatch (as of 1/1/20, the average non-GAAP E.P.S. for 2021 was at $.93)

GASS SEC Filings 

5 Year Financials:

I omitted the lengthy footnotes which can be found in the following link: 

Sourced from 2019 SEC Filed Annual Report at pages 3-6 with footnotes omitted in preceding snapshots (as a foreign corporation, GASS does not use the SEC Form 10-K for its annual reports but Form 20-F)

Last Earnings Report (Q/E 9/30/20): STEALTHGAS INC. Reports Third Quarter and Nine Months 2020 Financial and Operating Results 

Net Income: $.8M

E.P.S. = $.02

Adjusted Net Income: $3.2M or E.P.S. of $.08

The primary adjustment is a $2.49+M addition to GAAP net income which reflects an impairment charge. 

EBITDA = $13.3M

"Fleet utilization of 96.9% - with 114 days of technical off hire, as a result of five drydockings – all completed within Q3 ‘20."

In another account, I sold 70 GASS at $2.68: 

Profit Snapshot: $16.26

H. Added 1 ED at $69.7: 

Quote: Consolidated Edison Inc.  (ED)

Recently, the dominant trend for interest rates has been up. That movement is a negative for utility stocks that are viewed by many as bond substitutes.

SEC Filings

2019 Annual Report

ED - Consolidated Edison, Inc. Profile | Reuters

ED - Consolidated Edison, Inc. Key Developments | Reuters

ED Analyst Estimates-MarketWatch (as of 1/1/21, average E.P.S. estimate for 2021 was $4.49 and $4.71 for 2022)

Last Discussed: Item # 1.I. Bought 1 ED at $73.44 (9/12/20 Post) 

Dividend: Quarterly at $.765 per share ($3.06 annually) 

Dividend History | Consolidated Edison, Inc.

The dividend was last raised from $.74 effective for the 2020 first quarter payment. 

Last Ex Dividend: 11/17/20 

Last Stock Offering (12/2020): Prospectus Supplement As part of the same prospectus, the company also sold a bond with a .65% coupon that matures in 2023. Proceeds were used to repay a $820M term loan that had a 1.6% interest rate. 

Last Earnings Report (9/30/20): SEC Filed Earnings Press Release 

"2020 third quarter net income for common stock of $493 million or $1.47 a share compared with $473 million or $1.42 a share in the 2019 third quarter. Adjusted earnings were $495 million or $1.48 a share in the 2020 period compared with $513 million or $1.54 a share in the 2019 period. Adjusted earnings in the 2020 and 2019 periods exclude the effects of hypothetical liquidation at book value (HLBV) accounting for tax equity investments in certain renewable electric production projects of Con Edison Clean Energy Businesses, Inc. (the Clean Energy Businesses) and the net mark-to-market effects of the Clean Energy Businesses."

"For the year of 2020, Con Edison expects its adjusted earnings per share to be in the range of $4.15 to $4.30 a share. The company's previous forecast was in the range of $4.15 to $4.35 per share. The change primarily reflects revised expectations due to the effect of the COVID-19 pandemic on the Utilities". There is less energy being sold given business closures and office vacancies in NYC due to the pandemic resurgence.  

Broker Reports (available to Schwab customers): 

Argus (11/18/20): Hold, wait for better entry point, long term buy. 

S & P (11/9/20): 3 stars with a 12 month PT of $89. That PT is not consistent IMO with a 3 star rating. The rating should be buy with that PT given ED's dividend yield. 

Morningstar (12/18/20): 4 stars with a FV of $80. 

Credit Suisse: Neutral with a 12 month PT of $79. 

I. Started AMGN-Bought $50 at $222.04: 

Quote: Amgen Inc.  

Closing Price 1/8/21: AMGN $238.49 +$4.47 +1.91% 

Website: Investors | Amgen Inc.

AMGN Analyst Estimates-MarketWatch (as of 1/1/21, the average non-GAAP E.P.S. estimate for 2021 was $16.96 and $18.25 for 2022) 

At a $222.04 price and using the $16.96 average E.P.S. estimate for 2021, the P/E is 13.09. 

AMGN SEC Filings 

Main Product Revenues (3rd Q. and 9 months 2020)

Sourced: 10-Q For the Q/E 9/30/20 at page 9 

5 Year Financials: 

Sourced from 2019 Annual Report at page 44 The 2017 earnings were negatively impacted by the 2017 Tax Act, see 2017 Annual report at pages F-16 and F-47 for more details. The charge had nothing to do with operations. 

Dividend: Quarterly at $1.76 per share, raised from $1.6 effective for the 2021 first quarter. 

Dividend Information | Amgen Inc.

Next Ex Dividend: 2/11/2021

Last Earnings Report (Q/E 9/30/20): 

Non-GAAP E.P.S. increased 19% to $4.37 

$3.2B in free cash flow during the 3rd quarter

Product Sales 2020 3rd Q Compared to 2019 3rd Q: 

ROW - Rest of World

The non-GAAP E.P.S. calculation increases GAAP by adding back acquisition related charges that relate "primarily to noncash amortization of intangible assets from business acquisitions".

Broker Reports (available to Schwab customers): 

Morningstar (1/6/21): 3 stars with a $215 FV 

Argus (11/17/20): Buy with a $275 PT

Credit Suisse (multiple reports on developments): Outperform with a $280 PT 

S & P (11/2/20): 4 stars with a $268 PT

J. Started CRM-Bought $50 at $218.92: 

Quote: Salesforce.com Inc.  (CRM) 

CRM Profile | Reuters

CRM Analyst Estimates | MarketWatch

CRM SEC Filings 

CRM 10-Q for the 3rd Fiscal Q/E 10/31/20 

CRM Annual Report F/Y Ending on 1/31/20 

I view this stock to be overvalued which explains my $50 purchase. By placing it an account, I am more likely to notice a substantial price drop that may spur some additional buying interest. 

There will be a substantial differential between GAAP and Non-GAAP E.P.S. due in part to generous stock compensation that companies want investors to ignore as an expense. 

For CRM's fiscal third quarter, GAAP E.P.S. was reported at $1.15 and non-GAAP at $1.74.  

SEC Filed Earnings Press Release for the 3rd Fiscal Quarter Ending 10/31/20 

Broker Reports (available to Schwab Customers)

Credit Suisse (multiple reports on developments): 

Morningstar (12/9/20): 3 stars FV at $253 

Argus (12/3/20): Buy with a $313 PT 

S & P (12/3/20): 5 stars with a $309 PT

CRM was recently added to the DJIA index. 

Investors generally reacted negatively to CRM's announcement that it would acquire Slack for approximately $27.7B. Salesforce Signs Definitive Agreement to Acquire Slack 

K. Bought Several Small Lots of LMT:

Current Position: 1.009 shares

Average Cost per share = $346.16

Quote: Lockheed Martin Corp. 

Stock Information as of 1/8/20: 

LMT Profile-Reuters

Investor Overview | Lockheed Martin Corp

Lockheed Martin Corporation | Lockheed Martin (link to information about businesses) LMT is best known for its military aircraft. Aircraft | Lockheed Martin

LMT Analyst Estimates-MarketWatch (as of 1/1/21, the average E.P.S. estimate for 2021 was $26.19 and $28.16 for 2022). 

LMT SEC Filings

5 Year Historical: Lots of footnotes.  

Sourced: 2019 Annual Report at pages 25-26 (risk factor summary starts at page 9)

Dividend: Quarterly at $2.6 per share ($10.4 annually), last raised from $2.4 effective for the 2020 4th quarter payment. 

Yield at $346.16: 3%

Last Ex Dividend Date: 11/30/20

5 Year Chart: 

Last Earnings Report (9/30/20): SEC Filed Press Release 

"reported third quarter 2020 net sales of $16.5 billion, compared to $15.2 billion in the third quarter of 2019. Net earnings from continuing operations in the third quarter of 2020 were $1.8 billion, or $6.25 per share, compared to $1.6 billion, or $5.66 per share, in the third quarter of 2019. Cash from operations in the third quarter of 2020 was $1.9 billion, compared to cash from operations of $2.5 billion in the third quarter of 2019."

Backlog and Aircraft Deliveries: 

Breakdown of Revenues, Operating Profit and Margins by Business Segments: 

Recent Press Release: 

Pentagon and Lockheed Martin Agree to $1.28B F-35 Sustainment Contract (1/6/21)  

Broker Reports (available to Schwab customers): 

Argus (10/20/20): Buy with a $450 PT

S & P (10/26/20): 5 stars with a 12 month PT of $504

Credit Suisse (multiple reports): Neutral with a $409 PT

Morningstar (12/23/20): 4 stars with a $433 FV

Maximum Position: 10 Shares

Purchase Restriction: Each subsequent purchase must be at the lowest price in the chain. 

L. Bought $100 GD at $152.55; $50 at $149.88: $50 at $147.26 : 

Quote: General Dynamics Corp. 

Website: General Dynamics | Home

GD Analyst Estimates-MarketWatch (as of 1/1/21, the average non-GAAP E.P.S. estimate for 2021 was $11.46 and $$12.8 for 2022)

10-Q for the Q/E 9/30/20 

Average Cost Per Share: $150.53 (1+ share)

Dividend: Quarterly at $1.10 per share

General Dynamics - Stock Information - Dividend/Split History

Last raised from $1.02 effective for the 2020 second quarter payment

Yield at AC = 2.93%

Next Ex Dividend Date: 1/14/21

Last Earnings Report (Q/E 9/30/20): SEC Filed Earnings Press Release 

Net earnings of $834 million and diluted EPS of $2.90, up 33% sequentially

Operating margin up 240 basis points over second quarter

Cash from operating activities 134% of net earnings

Total backlog at the end of third-quarter 2020 was $81.5 billion, up 21% from the year-ago quarter.

Approximately 70% of revenues comes from the U.S. government

The aerospace segment, which includes private business jets sold under the Gulfstream brand and Jet Aviation which offers services for business jets,  has been negatively impacted by the pandemic. 

Revenues and Earnings by Business Segment: 

Broker Reports: 

Morningstar (10/28/20): 4 stars with a $181 FV

S & P (11/11/20): 5 stars with a 12 month PT of $203

Credit Suisse (multiple reports): Neutral with a $140 PT 

Argus (10/29/20): Hold with a buy at $120

Purchase Restriction: Each subsequent purchase, other than through dividend reinvestment, must reduce my average cost per share. Purchases will generally be $50 or $100 until the price sinks below $120. 

Maximum Position: 20 shares 

M. Sold 1 UBSI at $31.58:

Quote: United Bankshares Inc.

UBSI Analyst Estimates

UBSI SEC Filings

Investment Strategy: Regional Bank Basket Strategy

Profit Snapshot: $7.53

New Average Cost Per Share this Account: $21.69 (5 shares) 

Snapshot Remaining 5 Shares with Price as of 12/23 Close

Dividend: Quarterly at $.35 per shares ($1.4 annually)

UBSI Dividend History-Nasdaq

Yield at $21.69 AC = 6.45%

Last Ex Dividend: 12/10/20

Last Buy Discussion: Item # Restarted UBSI-Bought 1 at $26.6; 1 at $26.34; 3 at $25.95; 5 at $25.54; 2 at $24.6; 1 at $24.32; 2 at $24.04; 1 at $23.68; 1 at $22.21; 1 at $21.81; 1 at $21.3; 2 at $20.9  (9/26/20 Post); 

Largest Gain: $1,235.01 Item # 1 Sold 50 UBSI at $41.58-Update For Regional Bank Basket Strategy As Of 8/7/15 - South Gent | Seeking Alpha

I neglected to include this trade in my last post where I discussed selling 2 shares in another account. Item # 1.E. (1/1/21 Post) I discussed the third quarter earnings report in that post. 

N. Pared UBSI in Fidelity Taxable Account-Sold 3 at $35.44: 

See Item #1.M above. 

Profit Snapshot: +$28.46

New Average Cost This Account: $23.76

Snapshot Intraday 1/7/21 After Pare

Yield at $23.76 = 5.89%

Purchase History Remaining Shares this account: 

Realized UBSI Gains to Date: +$1,279.51

O. Pared EAF in Schwab taxable account-Sold 25 at $11.43 (2nd highest cost lot): 

Closing Price 1/8/21: EAF $11.66  +$0.17 +1.48% 

Quote: GrafTech International Ltd.

Profit Snapshot: $3.99

In my last post, I discussed eliminating my position in the Fidelity taxable account. EAF had been a loser for me but the recent rally in cyclical stocks lifted the share price into profit territory. Item # 3.I. Eliminated EAF in Fidelity taxable account-Sold 46+ at $9.94(1/1/21 Post) 

New Average Cost Per Share Schwab Account: $10.6 (78+ shares)

The highest cost lot bought at will be sold when I can do so profitably.     

EAF Realized Gains to Date:  $257.46 ($253.47 in prior trades)

2. Non-Cumulative Equity Preferred Stocks: 

A. Pared DCOMP-Sold 30 out of 80 at $25.8-Fidelity Taxable Account: 

Quote: Dime Community Bancshares 5.5% Non-Cumulative Preferred Series A Stock Overview 

Closing Price 1/8/21:  DCOMP $25.39  +$0.30  +1.20% 

Dime Community is in the process of being acquired by Bridge Bancorp Inc. (BDGE) which I own. 

Profit Snapshot: $170.45

Remaining Shares Average Cost at $20.09:

Snapshot Intraday on 1/5/21

I own this security in several of my accounts.  

Last Buy Discussion: Item # 2.A. Bought 10 DCOMP at $20.68; 10 at $20.3 ; 5 at $20.26; 5 at $20.09; 70 at $20.09 (8/1/20 Post)

Last Sell Discussion: Item # 2.B. Sold 10 DCOMP at $21.14 and 10 at $22.06-Highest Cost Lots Fidelity Taxable Account (9/5/20 Post)(profit snapshot = $26.23) 

Prospectus

Par Value: $25 

Dividends: Non-Cumulative and Qualified, Paid Quarterly 

Last Ex Dividend: 11/5/20

Issuer Optional Call Date: At par plus accrued and unpaid dividends on or after 2/15/25

Average Cost Per Share:  $20.09 (50 Shares)

Yield at AC = 6.84%

I rapidly lose interest in these low yield equity preferred stocks when prices exceed par value. 

I am also concerned about a rise in interest rates. The current dominant trend is up in intermediate and longer term U.S. rates. 

Based on what I know now, the credit risk will improve when BDGE completes its acquisition and this preferred stock becomes a BDGE obligation. 

B. Pared DCOMP-Vanguard Taxable Account-Sold 5 at $25.5: 

Profit Snapshot: +$26.6

See Item 2. A above.  

This 5 share lot was bought at $20.26. This taxable account currently holds 15 shares bought at $20.11: 

Yield at $20.11 = 6.84%

DCOMP Realized Gains: $248.06

I also sold 5 shares held in a Roth IRA account: +$24.78

3. Dividend and Interest Payments 12/31/20 and 1/1/21 Schwab Taxable Account:

The payments made on 1/1/21 were not credited until 1/4/21. 

In the following snapshots, I did not include trades. 

Tennessee Municipal Bonds  this account = $538.76 

Those muni bonds will be the primary interest income payments during 2021. 

The other payments are mostly from a hodgepodge of securities including CEFs, common stocks which includes several small BDC and REIT positions; an exchange traded first mortgage bond; 2 equity preferred stocks, 2 buy-write ETFs (BXMX, QYLD) and several other ETFs that pay negligible dividends (e.g. 2 shares of SKYY)

For the CEFs, my largest positions in EXG (146+ shares); DPG (390+ shares); GDO (100) and MIN (355+) are in this account. EXG, GDO and MIN pay monthly dividends. 

Duff & Phelps Utility & Infrastructure Fund Inc. Overview  (DPG); Eaton Vance Tax-Managed Global Diversified Equity Income Fund Overview (EXG); MFS Intermediate Income Trust Overview (MIN); Western Asset Global Corp Defined Opportunity Fund Inc. Overview (GDO) I recently pared my GDO and DPG positions in another taxable account. 

I own utility holding company PPL in several accounts and the largest position is in this account (116+ shares). PPL Corp. Stock Quote 

 

The BXMX position in this account is 20+ shares. A larger position (115+ shares) is held in my Fidelity taxable account. Nuveen S&P 500 Buy-Write Income Fund Overview 

The Transalta Renewables position is a 100 share lot price in USDs and traded in the Grey Market. Dividends are paid monthly in CADs and converted into USDs. I also own 100 in my IB account that was bought in Toronto and priced in CADs. I recently discussed that stock in a 12/27/20 comment This is a snapshot of the USD priced shares held in my Schwab account as of the 1/8/21 close: 

The unrealized gain on the CAD priced 100 share lot (RNW:CA) was C$1,108.50 as of last Friday's close: 

 

Most of the other securities are held in multiple accounts with my position in the Schwab account being the smallest.  

4. Vanguard Taxable-Tennessee Municipal Bond Payments 1/1/21: 

Total = $201.25
 

The Fidelity snapshot is in my last post with a total payment of $250.

Total Tax Exempt Interest Payments 1/1/21: $990.01

5. Schwab Bond and CD Positions as of 1/9/2021: 

This account has probably suffered the largest percentage decline in my bond allocation, primarily due to its above average weighting in treasury bills that have matured with no new ones bought.  Most CDs have matured as well with no new ones bought. 

This account holds 3 corporate bonds bought during last years' hiccup in prices, totalling $30K in par value (American Electric Power, Essex REIT, and Virginia Electric Power).  

The municipal bond prices are being restrained by their optional redemption provisions at par value. None will make it too their maturity dates using current interest rate forecasts.  

For example, the last bond listed in the previous snapshots is a 4% Wilson County, TN general obligation bond maturing on 4/1/2039. The issuer can call at par on or after 4/1/2026. The bond is currently rated AA+ by S & P. The bond will most likely be called on 4/1/2026 and that will restrain its upward price movement compared to what it would be with no optional redemption. The 20 year taxable treasury bond closed last Friday at a 1.67% yield.   

Cash in this account is close to 37% of the total, mostly originating from treasury bill proceeds that were not reinvested. Treasury bills are defined as maturities 1 year or less from issuance. 

Disclaimer: I am not a financial advisor but simply an individual investor who has been managing my own money since I was a teenager. In this post, I am acting solely as a financial journalist focusing on my own investments. The information contained in this post is not intended to be a complete description or summary of all available data relevant to making an investment decision. Instead, I am merely expressing some of the reasons underlying the purchase or sell of securities. Nothing in this post is intended to constitute investment or legal advice or a recommendation to buy or to sell. All investors need to perform their own due diligence before making any financial decision which requires at a minimum reading original source material available at the SEC and elsewhere. A failure to perform due diligence only increases what I call "error creep". Stocks, Bonds & Politics: ERROR CREEP and the INVESTING PROCESS Each investor needs to assess a potential investment taking into account their personal risk tolerances, goals and situational risks. I can only make that kind of assessment for myself and family members.