BDN, BHB, CIZN, DEA, ELC, EMP, EPRPRC, GTY, HOPE, HPPPRC, KMB, PFXF, PFLT

Economy: 

Pending Home Sales Slid 4.0% in November The Y-O-Y decline was 37.8%. 

Recession Prediction on the Clock | San Francisco Fed

++++

Allocation Shifts Discussed in this Post: 

Treasury Bills: +$10,000

Investment Grade Corporate Bonds: +$3,000

Common Stocks: - $1,554.36

(Consisting of $1,955.11 in proceeds minus $400.75 in purchases)

Weighted Average Yield Common Stock Purchases: 8.21%

Realized Common Stock Gains: +$382.19

REIT Equity Preferred Stock: +244

Weighted Average Yield REIT Preferred Stocks: 8.32%

Exchange Traded First Mortgage Bonds: +$311.1 (weighted average yield at 5.89%)

++++

ETFs: 2022 Total Returns (dividends reinvested): 

Indexes: 

SPDR® Dow Jones Industrial ETF (DIA) = -7.01%

SPDR® S&P 500 ETF  (SPY) = -18.17%

iShares Russell 2000 ETF (IWM) = -20.48%

Invesco QQQ (QQQ) = -32.58%

Vanguard Total International Stock ETF (VXUS) = -16.09%

VXUS owns some Russian stocks that are currently assigned a zero value.  

Sectors: 

Fidelity® MSCI Energy ETF (FENY) = +63.09% 

Fidelity® MSCI Consumer Staples ETF (FSTA) = -1.72%

VanEck BDC Income ETF (BIZD) = -8.63%

SPDR® S&P Regional Banking ETF (KRE) = -15.1%

Fidelity® MSCI Real Estate ETF (FREL) = -26.31%

Technology Select Sector SPDR® ETF  (XLK) = -27.73% 

First Trust Cloud Computing ETF (SKYY) = -44.68%

First Trust Dow Jones Internet ETF (FDN) = -45.54%

ProShares Online Retail ETF (ONLN) = -50.07%

Bonds: 

iShares 7-10 Year Treasury Bond ETF (IEF) =  -15.16%

iShares 20+ Year Treasury Bond ETF (TLT) =  -31.24%

PIMCO 25+ Year Zero Coupon US Treasury ETF (ZROZ) = -41.3%

Vanguard Intermediate Term Corporate Bond ETF (VCIT) = -13.98%

Invesco Taxable Municipal Bond ETF (BAB) = -19.46%

iShares National Muni Bond ETF (MUB) = -7.35%

iShares Core US Aggregate Bond ETF (AGG) = -13.02%

Precious Metals: 

SPDR® Gold Shares  (GLD) = -.77%

iShares Silver Trust (SLV) = +2.37%

abrdn Physical Precious Metal Basket ETF (GLTR) = .25%

Value vs. Growth: 

Vanguard Growth ETF (VUG) = -33.15%

Vanguard Value ETF  (VTV) = -2.07%

++++

Putin and His Country: 

Anna Danylchuk - 2023 - a Traumatic Year for Ukrainians, but one which has Brought Hope of a Victory - YouTube

In Bucha, a Final Rampage Served as a Coda to a Month of Atrocities - The New York Times Just a bunch of savage psychopaths who are made even more violent when they are drunk which is virtually all of the time. I am  being charitable when describing those Russian soldiers.  

Deliberately attacking civilian infrastructure facilities, which is routine for Russian Orcs, is a war crime. United Nations Office on Genocide Prevention and the Responsibility to Protect 

Another wave of missile attacks attacks occurred on 12/29/22. 120 Russian missiles target Ukrainian cities in fresh strikes – BBC News - YouTube  

Starting the new year, more Russian missiles were directed at Ukraine's civilian infrastructure, injuring several civilians including a Japanese journalist. 

Putin gave a nine minute happy new year rant to his brain dead True Believers that was bombastic, militaristic, fact free which goes without saying, filled to the brim with nonsensical paranoia, and deeply delusional. Putin greets the New Year with attacks on Ukrainian capital of Kyiv - The Washington Post; Ukraine’s Zelensky and Russia’s Putin address their countries on New Year’s Eve – BBC News - YouTube

Putin claimed that Russia's unprovoked invasion of Ukraine, the illegal annexation of internationally recognized Ukrainian territory, the kidnapping and forced deportation of Ukrainian children to Russia, the intentional murder of Ukrainian civilians, the destruction of Ukrainian homes, apartment buildings, hospitals, factories, businesses and nursing homes, and the purposeful attacks on Ukrainian energy and water infrastructure, were and will continue to be necessary to protect the "motherland" and to rid Ukraine of Nazis. If Russians want to find Nazis in Ukraine, they only need to look in the mirror and nowhere else. 

The vast majority of Russians accept their dictator's psychopathic and delusional crap without question.  

How Russia failed on three fronts in just 10 months - YouTube

Gen. McCaffrey: ‘A Stalemate Is Not A Good Option For Putin’ - YouTube

Putin attempts to undermine oil price cap as global energy markets fracture Democracies need to permanently cease buying Russian products which only provides resources to fund Russia's imperial ambitions.    

Another Russian Critic of Putin's War Has Died After Falling From a Window (mokroye delo) Falling out of a window has become commonplace for Putin critics. Sudden Russian Death Syndrome - The Atlantic  If the Putin critic resides in Russia, the Gulag or a bullet in the head are the primary methods for addressing critics. Outside of Russia, the Putin's preferred methods throwing the critics out of windows or off cliffs, killing the critic as a poorly staged suicide event, or poisoning them preferably with radioactive or nerve agent substances, though Putin has frequently resorted to other poisons including, for example, the death of the Russian whistleblower Alexander Perepilichny in London who was poisoned with the residue of the highly toxic plant gelsemium. 

{As a side note, I enjoyed watching over the holidays seasons 1 and 2 of "Slow Horses", offered by Apple TV. In season 2, the plot included the FSB assassination of a Russian Oligarch critical of the Russian government, who was residing in London, with a radioactive substance. Slow Horses - Wikipedia; Slow Horses season 2 review – Gary Oldman’s spy thriller is a cut above-The Guardian}

Russia’s abductions of Ukrainian children are a genocidal crime - The Washington Post Russia is a state sponsor of child trafficking. 

Russian foreign minister: Ukraine must give up Russian occupied internationally recognized Ukrainian territories - YouTube  

Russia's Isolation Will Trash Its Economy in the Long Run, Experts Say

The only way to end the Russia-Ukraine war is through a ‘military solution’ - YouTube Putin has left the Ukrainians with no choice but to fight until Russia is defeated and withdraws, or Ukraine's ability to resist Russian aggression no longer exists. If the result is 300,000+ Russian deaths, plus many more with lifetime physical and mental disabilities, and a long term collapse of the Russian economy, then Putin is willing to accept those consequences to remain in power. Ukraine claims that over 100K Russian soldiers have already died in Putin's war. 

Putin does not have a reverse gear. 

What would happen to Putin in Russia if he ordered his military to leave all of the territory occupied in 2022 as part of a peace settlement?  

If Russia is about to lose Crimea, which is likely IMO within the next 12 months, Putin may resort to using use tactical nuclear weapons. If that happens, the result will be a Russian economy that enters a long term depression as that deservedly pariah nation becomes even more isolated. Supply lines to Crimea have already been diminished, Crimea's water supply sourced from the Kakhovka Reservoir located on the Dnipro river may be cut soon (North Crimean Canal), and Ukrainian artillery will soon be in range. The precision of that artillery, particularly the Himars, has been proven again recently, as discussed in the next paragraph. High Mobility Artillery Rocket System (HIMARS) — M142 - USAASC  

Ukraine Says Makiivka HIMARS Attack Killed 400 Russians: 'Absolute Carnage'; “Up to 400 Russian soldiers killed” in Ukraine missile strike - BBC News - YouTube Russia had housed the new recruits in a structure that was near a munitions storage depot which exploded and contributed to the carnage. 

Russia’s War on Ukraine Worsens Global Starvation - The New York Times

Russian Offensive Campaign Assessment, December 30 | Critical Threats

'Rogue Russia' is 2023's most dangerous threat: Eurasia Group - MarketWatch

The New Frontier of Russian Propaganda: State Television Mocks the Suffering of Ukrainians - YouTube

Some commentators, including Anne Applebaum, have claimed that Russia can change for the better as has other nations including Germany and Japan. 

But those two recent examples required all of the existing power structures in place before and during WWII to be entirely replaced, which was done by external forces after a horrendous world war. 

Unlike Japan and Germany after WWII, no external power is going to replace thousands of Putin controlled loyalists, the Putin controlled "parliament", Russian kleptocrats, and Russia's Goebbels like media apparatus, replacing them with an independent judiciary, a free press and a democratically elected parliament with anyone running for office. Those changes will have to come from within Russia, and its history proves beyond any reasonable doubt that Russia will at best replace one violent and hostile authoritarian regime with another one.    

+++

Trump and His Party: 

The conservative David Brooks summed up the invented personal history of George Santos (R-NY) as follows: "In a sense Santos is a sad, farcical version of where Donald Trump has taken the Republican Party — into the land of unreality, the continent of lies." Lying about almost everything is one of the GOP's "conservative" virtues. George Santos Is Donald Trump Taken to Its Logical End Point

George Santos' Ex-Boyfriend Says He Stole His Phone, Never Went to Work

Brazilian Authorities Will Revive Fraud Case Against George Santos - The New York Times

George Santos also claimed that his maternal grandparents were Jews who fled persecution before WWII and settled in Brazil. Those grandparents were born in Brazil. George Santos' claims his grandparents fled the Holocaust contradicted by genealogy records  Santos claimed to be a proud American Jew. Document reveals Santos boasted of being 'proud American Jew' during campaign – The Forward  Santos claims that those grandparents were Jews who converted to Catholicism after moving to Brazil to escape prosecution. George Santos Faces Federal and Local Investigations,-The New York Times

Santos was endorsed by Elise Stefanik (R-NY), who replaced Liz Cheney as the House Republican Conference Chair. That Chair is the 4th highest rank in the republican House leadership. Ms. Stefanik also endorsed Carl Paladino who asserted that the murder of 10 people in a Buffalo supermarket may have been a false flag operation designed to help Democrats "revoke the 2nd Amendment". The Invention of Elise Stefanik - The New York Times

Former F.B.I. Agents Lodge Accusations of Bias Against Conservatives - The New York Times

+++

1. Treasury Bill Auctions: +$10,000

December 2022 Yield Curve

Yield curve as of 1/3/22: 

A. Bought 3 Treasury Bills at 12/27/22 Auction: 

91 Day Bills 

Interest: $32.99

Mature on 3/30/23

Investment Rate: 4.459%

B. Bought 2 Treasury Bills at 12/27/22 Auction: 

182 Day Bill

Interest: $46.51

Matures on 6/29/23

Investment Rate: 4.775%

C. Bought 5 Treasury Bills at 12/28/22 Auction: 

17 week (119 days) Bills

Mature on 5/2/23 

Interest: $75.2

Investment Rate: 4.684%

2. Small Ball Buys: 

A. Added to EPP.PRC - Bought 5 at $18.74; 5 at $17.75: 

Quote: EPR Properties 5.75% Cumulative Convertible Preferred Series C Stock

Issuer: EPR Properties (EPR)

Prospectus

Investment Category: Advantages and Disadvantages of Equity REIT Cumulative Equity Preferred Stocks, part of the Equity REIT Common and Preferred Stock Basket Strategy

I recently discussed this currently busted convertible preferred stock. Item # 2.C. Added 5 EPR.PRC at $19.35 (12/20/22 Post) 

Coupon: 5.75% paid on a $25 par value

Average cost per share: $19.45  (20 shares)

Yield at AC : 7.39%

Last Ex dividend: 12/29/22 (owned all as of)

EPR.PRC Trading Profits to Date: $656.54 

B. Added to ELC in Fidelity Account - Bought 5 at $21.05; 5 at $20.25: 

Quote: Entergy Louisiana LLC  First Mortgage Bonds 4.875% Series due 2066

Investment category: Exchange Traded Baby Bonds, a subcategory of Exchange Traded Bonds

Average cost per share this account: $21.84 (30 shares)

Yield at AC this account: 5.58%

Last Ex Interest Date: 11/29/22

Prospectus

Coupon: 4.875% paid on a $25 par value

Interest: Paid quarterly 

Trades Flat

Security: First Mortgage  

Issuer Call Option: Callable on or after 9/1/21 at par value + accrued and unpaid interest

Maturity: 9/1/2066 unless redeemed earlier at issuer's option. 

Last Discussed: Item # 2.E. Added 5 ELC  at $21.72 -Fidelity Taxable Account (12/13/22 Post) 

Last Sell Discussion: Item # 4.B. Sold 30 ELC at $24.87- Used Commission Free Trade (5/1/2019 Post)

C. Added to CIZN in Fidelity Account - Bought 5 at $13.14; 5 at $12.75: 

Quote: Citizens Holding Co. (CIZN)

CIZN SEC Filings

10-Q for the Q/E 9/30/22

Investment Category: Regional Bank Basket Strategy

Average cost per share this account: $13.52 (20 shares)

Dividend: Quarterly at $.24 per share ($.96 annually)

CIZN Dividend History | Nasdaq

Yield at $13.52 AC per share:  7.1%

Last Ex Dividend: 12/17/22

Last Discussed:  Item # 5.C. Started CIZN in Fidelity Account - Bought 10 at $14.1 (11/22/22 Post) I discussed the last earnings report in that post. SEC Filed Press Release 

D. Added to DEA  - Bought 5 at $13.65: 

Quote: Easterly Government Properties Inc.

Properties | Easterly Government Properties, Inc.

DEA SEC Filings

Average cost per share: $18.58 (101+ shares)

Dividend: Quarterly at $.265 per share  ($1.06 annually)

I started to reinvest the dividend effective for the last payment. 

Yield at $18.58 AC per share: 5.7%

Yield at $13.65: 7.7656%

Last Ex Dividend: 11/9/22

Last Substantive Discussion: Item # 2.F. Added to DEA in Fidelity Taxable Account - Bought 5 at $14.94; 5 at $14.17 (12/20/22 Post) I discussed the last earnings report and other recent developments in that post and nothing further to add here.  SEC Filed Press Release

DEA Realized Gains to Date: $561.24 

E. Added to EMP in Schwab Taxable Account- Bought 5 at $20.92: 

Quote: Entergy Mississippi LLC 4.9% First Mortgage Bond

Average cost per share this account: $21.88 (30 shares )

Yield at $21.88: 5.6%

Investment Category: Exchange Traded Baby Bonds

Security: First Mortgage 

Par Value = $25 

Credit Ratings: A2/A

Maturity: 10/1/2066 unless issuer exercises early optional call

Last Ex interest date: 12/29/22 (owned all as of)

EMP Trading Profits to date: $464.9

Maximum Position All Accounts: 300 shares

Last Discussed: Item # 5.A. Added 5 EMP in Vanguard Taxable Account at $21.75 (12/6/22 Post) I own 30 shares in that account. 

Last Sell Discussion: Item # 5.A. Pared EMP-Sold 5 at $26.84  (6/27/20 Post)

Last Elimination: Item # 4.A. Eliminated EMP-Sold 70 at $24.87 (5/1/19 Post)

Purchase Restriction: Averaging down in 3 taxable account in 5 share lots. 

F. Added to BDN - Bought 5 at $6.03: 

Quote: Brandywine Realty (BDN)

Our Properties | Brandywine Realty Trust

10-Q for the Q/E 9/30/22

SEC Filings

Investment Category: Equity REIT Common and Preferred Stock Basket Strategy

Average cost per share: $8.12  (115+ shares)

Dividend: Quarterly at $.19 per share ($.76 annually)

BDN Dividend History | Seeking Alpha

I am reinvesting the dividend. 

Yield at new AC per share: 9.36%

Yield at $6.03: 12.6%

Last Discussed: Item # 2.F. Added to BDN - Bought 5 at $6.2 (12/13/22 Post) 

Last Substantive Discussion: Item # 7.F. Added to BDN - Bought 3 at $6.53 (11/15/22 Post) I discussed the last earnings report in that post. SEC Filing

G. Added to HPP.PRC - Bought 5 at $12.31: 

Quote: Hudson Pacific Properties Inc. 4.750% Cumulative Preferred

HPP SEC Filings

Prospectus

Par Value: $25

Investment Category: Equity REIT Cumulative Equity Preferred Stocks, part of the Equity REIT Common and Preferred Stock Basket Strategy

Last Discussed Item # 2.A. Added 70 HPP.PRC at $12.98 (12/20/22 Post) I mentioned in that post that I would stop at 100 shares but I have now decided to add to this equity preferred stock in 5 or 10 share increments. Each subsequent purchase must be at the lowest purchase price. The yield is too attractive at the current price or lower. 

I don't believe the rise in interest rates justifies the current yield. Generally, I would expect a REIT equity preferred stock from a non-financially stressed issuer to trade at a 3% to 4% premium to the 10 year treasury yield. At $12.31, the yield is 9.65% which is close to a 6% premium. 

I suspect that the price reflects some significant concern about credit risk. Currently, I am not concerned about that risk but recognize the concern of others expressed in the current price. 

I discussed HPP's last earnings report in a recent post. Item # 3.B. (12/27/22 Post); SEC Filed Press Release and SEC Filed Supplemental As discussed in that post, HPP owns premium west coast office properties and studios, primarily in San Francisco and Los Angeles, but also has a significant amount of debt. 

View All the HPP Properties | Hudson Pacific Properties

Redefining Studios in Los Angeles | Hudson Pacific Properties

As a reminder, HPP pays cumulative preferred dividends and the entire cash payment must be made when any cash dividend is paid to the common shareholder or cash is used to buy common stock. 

And, a REIT has to pay a common stock dividend to maintain its tax status when it has net income. 

In the event a REIT is so financially stress that it must eliminate the common share dividend to preserve capital, and that happened with Hotel REITs in 2020, I would then anticipate that the cumulative preferred stock dividend would be deferred. The entire deferred preferred stock dividends would then have to be paid in full prior to paying a common share cash dividend.  

Average cost per share: $13.54 (105 shares)

Yield at AC = 8.77%

Last Ex Dividend: 12/16/22 (owned 100 as of)

Chart as of 12/30/22: IPO at $25 in November 2021

H. Added to PFLT - Bought 10 at $10.95-Schwab Taxable Account: 

Quote: PennantPark Floating Rate Capital (PFLT)

PFLT SEC Filings

Website: PFLT - PennantPark

10-K for the fiscal year ending 9/30/22 (Summary of risk factors starts at page 16 and ends at page 37) 

I decided to buy back shares in this account that were sold at $14.07 earlier this year. Item # 7.E. Sold Highest Cost 20 PFLT Shares Purchased with Dividends at $14.07 - Schwab Taxable Account (4/28/22 Post)(profit snapshot = $46.13) This ten share purchase raised my AC per share slightly. 

Last Buy Discussion: Item # 1.G. Bought 10 PFLT at $6.06; 4 at $5.75 (6/6/20 Post)

New Average Cost per share this account = $9.23 (92+ shares)

Dividend:  Monthly at $.095 per share (regular dividend only)

PFLT Dividend History | Nasdaq

I quit reinvesting the dividend effective for the November 2020 payment but resumed reinvestment starting with the October 2022 payment due to the price decline.  

Yield at  $9.23 AC per share this account = 12.35%

Last Ex Dividend: 12/16/22

Net Asset value per share history: 

9/30/22:   $11.62

12/31/21:  $12.70

3/31/21:    $12.71 Press Release 2021 1st Q Earnings 
3/31/20:   $12.20   10-Q at page 5 
12/31/19:  $12.95
9/30/19:   $12.97
6/30/19:   $13.07 
3/21/19:    $13.24
12/31/18    $13.66
9/30/18    $13.82
6/30/18:   $13.82
9/30/17:   $14.10
9/30/16:   $14.06
9/30/15:   $13.95
9/30/14:   $14.40
9/30/13:   $14.10
9/30/12:   $13.98

Last Earnings Report (Q/E 9/30/22): PennantPark Floating Rate Capital Ltd. Announces Financial Results for the Fourth Quarter and Fiscal Year Ended September 30, 2022 

NII per share: $.29 GAAP

Non-GAAP NII per share = $.30 (excludes 1 cent per share related to the cost of a credit facility amendment)  

Weighted average yield on debt investments: 10%

Debt portfolio: 100% variable rate

"As of September 30, 2022, we had two portfolio companies on non-accrual, representing 0.9% and zero percent of our overall portfolio on a cost and fair value basis, respectively." 

PFLT Estimate of Interest Rate Changes on NII: 

Other sell discussions:  Item # 3 Sold 102 PFLT in Schwab Account at $13.26- Highest Cost Lots (7/30/21 Post)(profit snapshot = $30.92); Item # 2.A. Eliminated PFLT in Fidelity Account-Sold 81+ at $12.01 (12/14/19 Post)(profit snapshot = $29.66)

PFLT Realized Gains to Date: $135.27

Goal: Any total return in excess of the dividend payments.  

I. Added 5 HOPE in Vanguard Taxable Account at $12.68: 

Quote: Hope Bancorp Inc.

HOPE Analyst Estimates | MarketWatch (As of 12/31/22, the 2022 consensus E.P.S. was $1.83, up from $1.64 in 2021, and $1.76 in 2023. At $12.68 and using the $1.76 average E.P.S. for 2023, the P/E is 7.2.) 

HOPE SEC Filings

10-Q for the Q/E 9/30/22 

Investment Category: Regional Bank Basket Strategy

Average cost per share this account: $13.13 (15 shares)

Dividend: Quarterly at $.14 per share, last raised from $.13 effective for the 2018 third quarter payment. Hope Bancorp, Inc. Dividend History | Nasdaq

I view the dividend history unfavorably. 

Yield at $13.13 AC per share this account: 4.265%

Last Ex Dividend: 11/2/22 

Last Discussed: Item # 3.I Started HOPE in Vanguard Taxable Account - Bought 10 HOPE at $13.35 (8/20/21 Post)Last Earnings Report (Q/E 9/30/22):

Last Sell Discussions: Item # 3.N. Pared HOPE-Sold 17+ at $15.59 (6/4/21 Post); Item # 1.H.  Pared HOPE in Fidelity Taxable-Sold 22 at $15.52 and 14 at $15.96 (4/1/21 Post)

Last Earnings Report (Q/E 9/30/22): SEC Filed Earnings Press Release 

Comparisons are to the 2021 third quarter. 

E.P.S. = $.45, unchanged.

NIM: 3.49%, up from 3.07%

Efficiency Ratio: 50.39%, down from 53.58% (down is good) 

NPA Ratio: .51%, down from .64%

NPL Ratio: .62%, down from .73%

Coverage Ratio: 168.11%  (allowance for credit losses/nonperforming loans)

Charge offs : $219,000

Tangible Book Value per share: $12.6

ROA:   1.17%

ROE: 10.58%

ROTE: 13.77%

J. Added 5 PFXF at $16.63: 

Quote: VanEck Preferred Securities ex Financials ETF Overview

Sponsor's website: VanEck Vectors Preferred Securities ex Financials ETF 

Average cost per share: $16.9 (15 shares)

Dividends: Monthly at a variable rate

Yield at AC:   7.28%   (calculation uses last 12 monthly payments)  

Last Discussed: I discussed this ETF in my last post and have nothing further to add here. Item # 3.J. Restarted PFXF - Bought 10 at $17.04   (12/27/22 Post) 

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

Goal: Any total return in excess of the dividend payments. 

PFXF Realized Gains to Date: $185.45

Item # 3.B. Eliminated PFXF - Sold 76+ at $18.95 (8/1/2020 Post); Item # 1.B. Eliminated PFXF-Sold 110  at $20.51 (1/29/20 Post)

3. Small Ball Sells: 

A. Eliminated Remaining KMB in Fidelity Account - Sold 5+ at $137.87: 

Proceeds: +$744.05

Profit Snapshot: +$66.85 (12/23/22 sale only)

Last Substantive Discussion: Item # 3.D. Sold 1 KMB in Fidelity Account at $136.97  (12/13/22 Post) I discussed the last earnings report in that post. 

Last Discussed: Item # 3.D. Eliminated KMB in Vanguard Taxable Account - Sold 3 at $138.44 and Eliminated KMB in Schwab Account - Sold 3+ at $136.55(12/20/22 Post)(profit snapshots = $64.21) 

Consider to repurchase price: Less than 18 times forward year consensus E.P.S. estimate. As of 12/31/22, the average E.P.S. estimate for 2023 is at $6.37, so the maximum re-entry price would be less than $114.66. Given the recent earnings reports, I am skeptical that the E.P.S. number will increase from the 2022 estimated $5.62, down from $6.15 in 2021, to $6.37 in 2023.  

B. Pared BHB Again- Sold 10 Shares at $31.4: 

Quote: Bar Harbor Bankshares (BHB)

BHB SEC Filings

Bar Harbor Bankshares Analyst Estimates | MarketWatch

10-Q for the Q/E 9/30/22

Proceeds = $313.99

I sold my highest cost 10 shares. The remaining shares have a cost basis below $20.

Investment Category: Regional Bank Basket Strategy

Profit Snapshot: +$103.99 (12/27/22 sale only)

Last Discussed: Item # 3.E. Eliminated BHB in in Vanguard and Schwab Accounts - Sold 10 at $30.69 and 5 at $30.74 (12/20/22 Post) 

Last Substantive Discussion: Item # 4.D. Pared BHB in Fidelity Account - Sold 10 at $30 (12/6/22) I discussed the third quarter earnings report in that post. SEC Filed Earnings Press Release

New Average Cost per share: $16.46 (2o Shares)

Snapshot Intraday on 12/27/22 after pare

Dividend: Quarterly at $.26 per share, last raised from $.24 effective for the 2022 second quarter payment.

Yield at $16.46: 6.32%

Last Ex Dividend: 11/15/22

BHB Realized Gains to date: +$4,734.57

C. Eliminated GTY - Sold 5 at $35.65 and 20 at $35.69: 

Quote: Getty Realty Corp.

Proceeds: $897.07

Website: Getty Realty

GTY SEC Filings 

10-Q for the Q/E 9/30/22

Investment Category: Equity REIT Common and Preferred Stock Basket Strategy

Profit Snapshots: +$211.35

Fidelity: $167.53 (12/27/22 sale only) 

Schwab: +$43.82

Dividend: Quarterly at $.43 per share ($1.72 annually), last raised from $.41 effective for the 2023 first quarter payment. 

Getty Realty Corp. (GTY) Dividend History | Seeking Alpha

The yield at $35.69 is 4.82%, which is substantially below recent REIT purchases. Another yield comparison is to the first mortgage bond, discussed below, that matures on 3/15/24 and has a YTM of 4.85% at my total cost.  

Last Ex Dividend: 12/21/22 (owned all, 25 shares, as of)

Last Discussed: Item # 3.B. Pared GTY in Fidelity Account - Sold 5 at $33.48 (12/13/22 Post) 

Last Substantive Discussion: Item # 6.I. Pared GTY in my Fidelity Taxable Account - Sold Highest Cost 5 Share Lot at $30.89 (11/8/22 Post) I discussed the last earnings report in that post and have nothing further to add here. SEC Filed Press Release

4. Corporate Bonds: 

A. Bought 1 DTE Electric 3.65% First Mortgage Bond Maturing on 3/15/24 at a Total Cost of $98.601: 

Issuer: Wholly owned subsidiary of  DTE Energy Co. (DTE) 

DTE Analyst Estimates | MarketWatch

DTE SEC Filings 

DTE SEC Filed Earnings Press Release for the Q/E 9/30/22 (operating net income of $311M)

FINRA Page: Bond Detail

Credit Ratings: Aa3/A

Fitch has an A+ rating. Fitch Rates DTE Electric Company's 2022 Series A and B Mortgage Bonds 'A+' 

Security: First Mortgage

YTM at Total Cost: 4.849%

Current Yield at TC = 3.7%

B. Bought 2 Piedmont Operating L.P. 4.45% SU Maturing on 3/15/24 at a Total Cost of 98.644: 

I now own 4 bonds. 

Issuer: Wholly owned subsidiary of Piedmont Office Realty Trust Inc. (PDM) who guarantees the notes. 

FINRA Page: Bond Detail (prospectus linked)

Credit Ratings: Baa2/BBB 

YTM at Total Cost: 5.628%

Current Yield at TC = 4.51%

Previous Purchase Discussion: Item # 1.A. Bought 2 Piedmont Office REIT L.P. 4.45% SU Bonds Maturing on 3/15/24 at a Total Cost of 99.206 (11/8/22 Post) 

5. Cash Flow Into Fidelity Taxable Account on 1/3/23 (first business day):

Some of those securities are held in multiple taxable accounts. For example, the largest PFLT position is in my Schwab taxable account, discussed in Item # 2.H. above. I own only 15 PFLT shares in my Fidelity with a $5.96 AC per share: 

For securities that pay on the first business day, the largest dollar category will be my Tennessee municipal bonds. I own those bonds in 3 taxable accounts. 

From the Fidelity Account Snapshots:

Tennessee Municipal Bonds = $250

Corporate Bonds=  $78.25 ($62 from FM bond)

Treasury Notes = $98.13

Common Stocks = $65.81 (PFLT pays monthly) 

CDs Monthly Interest =  $32.43 (Live Oak, multiple maturities)

Equity Preferred Stocks = $8.09

CEFs (monthly payments) = $30.69

Exchange Traded First Mortgage Bonds = $6.74 (quarterly)

The general idea is to generate a constant cash flow throughout the month from a diversified and large number of securities.   

E.G. Cash Flow into Fidelity Account 12/29-30/22: 

12/30/22: $244.14

12/29/22: $76.73

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 sale 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 my family members.