Dollar Value of Trades Discussed in this Post:
Inflows:
Inflow Corporate Bonds and Treasury Bills: $24,000 in principal amount
Inflow Small Ball Common Stock Purchases: $597.19
Inflow Exchange Trade Bonds (ELC): $102.59
Outflows:
Outflows Small Ball Common Stock Sells: -$1,366.84
Realized Gains: +$396.98 (HIW, KMI, MEGI, MFC, STEW, VOD)
Outflow Canadian Reset Equity Preferred Stock: -C$1,905 (By selling my highest cost lot profitably, I reduced the AC per share to C$16.08 from C$16.88 for the remaining 500 shares and increased the dividend yield to 9.22%)
Outflow U.S. Equity Preferred Stocks: -$248.55 (Net: Sold 20 NSAPRA and Bought 10 NSAPRB.
+++
Trump will apply at least a 25% tariff tax on Apple iPhones not made in the U.S.
Trump also posted on "Truth" Social that a 50% tariff tax on European exports will start on 6/1/25. Trump recommends 50% tariff on European Union starting June 1
Trump seeks 50% tariff on EU, says he's not looking for a deal
Trump tariffs: Chase CEO Jamie Dimon says markets are too complacent
Trump tells Walmart to ‘eat the tariffs’ as retailer expects prices to increase What is Trump going to do when WalMart increases prices to recoup some of the republican tariff taxes that WalMart has to pay. Will he tell his cult members to boycott WMT, as he has done in the past for other companies who cross him in some way. What Trump is doing is not materially different to what a dictator would do in a non-capitalist, government controlled economy.
April home sales dropped to the slowest pace for that month since 2009
Investors are rattled by rising U.S. bond yield. They should be more worried about Japan. - MarketWatch (subscription publication)
House Reconciliation Bill: Budget, Economic, and Distributional Effects (May 19, 2025) — Penn Wharton Budget Model; The Largest Upward Transfer of Wealth in American History - The Atlantic (subscription publication); Wealthy gain, low-income people lose from GOP megabill, analysis finds - POLITICO
House GOP budget ‘worse than feared’ for clean energy: analysts | Utility Dive
Here's what's in the GOP megabill that's just passed the House-NPR
Here come the price hikes: Nike is increasing prices by up to 7%. - MarketWatch (subscription publication)
Steve Madden says Trump tariffs are ‘destroying’ the economy that brands like his created - MarketWatch (subscription publication)
++
Is Trump sane? Is it even possible to hear what he has to say or read what he publishes on "Truth" Social and conclude that he is?
 |
| 5/19/25 |
Trump coin dinner to include mostly non-Americans based on top holders
The Donald Trump 2.0 Grift Is Already On | WIRED
Trumpstore.com | The Official Retail Website Everyone who voted for Trump knew or is presumed to know that he would use the Presidency to enrich himself and his family while he was President.
Intelligence Memo Undercuts Trump's Immigration Argument- FactCheck.org The way to get around that memo in Trump's America is to fire its authors, which has already been done, and then simply deny that the intelligence assessment is accurate as Rubio did. Rubio says intelligence community is incorrect in assessment of Tren de Aragua: "They're wrong" - CBS News; Counterterrorism nominee Joe Kent under scrutiny as emails show he pushed for edits to intelligence assessment - CBS News Trump wants the intelligence assessment to find that the Tren de Aragua gang is under the direction or control of the Venezuelan government, a finding necessary to justify their deportation under the Alien Enemies Act of 1798. The reality is that it just a criminal gang that sees America as a land of opportunity. FEMA acting administrator Cameron Hamilton fired after breaking with Trump administration on eliminating agency - CBS News
The acting FEMA Director was fired by Trump one day after testifying before Congress that it was not in the U.S. interest to eliminate FEMA. Hamilton was fired at the direction of Kristi Noem the Department of Homeland Security Senior Advisor Corey Lewandowski carrying out the order.
Child Psychologists Explain Trump's Immature Attack On Taylor Swift Trump volunteered to reporters that Taylor was "no longer hot". Trump slams Supreme Court, Taylor Swift, Bruce Springsteen
Trump administration working on plan to move 1 million Palestinians to Libya
Nonprofit leaders say they are bracing for potential targeting by the Trump administration after a controversial tax measure advances in Congress If the nonprofits pursue an agenda that is not approved by our Dear Leader, they will be punished at a minimum and destroyed if possible.
HHS Secretary RFK Jr. tussled with Sen. Chris Murphy about measles vaccine safety. Who was right? RFK falsely claimed that the the measles vaccine wanes quickly, was never fully tested and contains fetal debris. Even during a measles outbreak, the U.S. Health Secretary is trying to convince parents to avoid giving their children the measles vaccine.
Trump Shares Post Suggesting Military Tribunal for Obama
Grok's 'white genocide' responses shows AI can be tampered with 'at will' The white genocide in South Africa responses made by Musk's AI in response to just about any question reflects Musk's opinions rather than the evidence. Trump has bought into that false narrative as expected. Are white South Africans facing a genocide as Donald Trump claims? White South Africans arrive in US under Trump refugee plan White genocide conspiracy theory - Wikipedia (noting the claims originates from neo-Nazis) The real world result is that Trump will allow white refugees while rejecting those with brown or black skin including those fleeing from Afghanistan.
Leo Terrell Floats 'Criminal Charges' for Jill Biden The Trump acolyte referenced in this article is Leo Terrell who Trump has appointed to run the DOJ's Civil Rights Division.
During Trump's recent call with Putin, Trump took Putin's side against Ukraine as expected. Trump's deference to Putin stunned European leaders on call; Peace in Ukraine looks further away after Trump’s call with Putin; Zelensky Issues Defiant Three-Word Response to Trump-Putin Call - Newsweek
Supreme Court will allow Trump administration to end TPS program for Venezuelans - CBS News
Supreme Court grants Trump request to fire certain independent agency members The 6 Republican Justices will continue to allow Trump to expand executive power by overruling an 80 year old precedent, a result that is highly probable by lifting the stay. There is nothing conservative about investing the President with Kingly power, a result totally inconsistent with the reasons for the American Revolution and the Founders' concern about concentrating power in the President. The Essential Importance of Limiting Presidential Power: Lessons from the Founding Fathers | by Jacob Grow | Medium The Founders were particularly concerned about a demagogue becoming President. Why demagogues were the Founding Fathers’ greatest fear - Los Angeles Times; The Other Fear of the Founders - The Atlantic; Politicians the Founders Warned You About
Trump suggests without evidence that Biden’s prostate cancer diagnosis was hidden from the public | AP News If Biden knew that he had prostate cancer, he would have sought and received treatment before the cancer spread to his bones. The high beam radiation treatment now is painless and only requires 5 visits.
Harvard University barred from enrolling international students by Trump administration Our Dear Leader will also require all currently enrolled foreign students to transfer to another college or be deported. Republicans are just hostile toward Ivy League schools and to people who have knowledge and are capable of independent thought rather than just parroting the party line. Trump's ongoing efforts to destroy Harvard, besides being an abuse of executive power and another example of his authoritarianism, can only be explained by his desire to subjugate and silence any and all opposition through repression and fear.
Ramaphosa keeps cool during Trump's choreographed onslaught; Trump-Ramaphosa meeting: The South African road incorrectly identified as a 'burial site' by US president; Trump showed old videos, took crosses out of context in South Africa genocide claims - ABC News (Trump: These are the -- these are burial sites right here. Each one of those white things you see is a cross. And there's approximately a thousand of them. They're all white farmers, the family of white farmers. ...Those people are all killed". The crosses do not mark burial sites, but were put up by protestors in 2020 to commemorate the alleged murder of two farmers days earlier.
Trump's image of dead 'white farmers' came from Reuters footage in Congo, not South Africa | Reuters Trump confronted the South African President in the Oval Office with these pictures.
Fact-checking Donald Trump's Oval Office confrontation with Cyril Ramaphosa
Trump is and will be a permanent and ugly stain on the U.S.
+++
1. Sold 100 of 600 ENBPRP:CA at C$20.06 - Interactive Brokers Account (C$1 commission):
Quote: ENB-PP.TO
I sold my highest cost lot that reduced my average cost per share and increased my dividend yield to 9.2%.
That highest cost lot was bought last September. Item # 6.A. Bought 100 ENBPRP:CA at C$19.85 (10/3/24 Post) I sold this lot shortly after the last quarterly ex dividend date.
Issuer: Enbridge Inc. (ENB)
I own the common stock.
Last ENB Discussion: Item # 1.S. Pared ENB - Sold 5 at $45.45 (4/4/25 Post)(profit snapshot = $66.91)
Last ENB Buy: Item # 1.F. Added to ENB in Vanguard Taxable Account-Bought 5 at $29.51; 5 at $28.95; 5 at $27.4 (10/31/20 Post)
Profit Snapshot: +C$19
Position in Capital Structure: Equity Preferred stock, senior only to common stock.
Credit Ratings:
Par Value: C$25
Coupon: Resets every 5 years at 2.50% spread to the 5 year Canadian Government Bond yield.
Current Coupon: 5.918% to but excluding 3/1/2029
Optional Redemption: Every 5 years on the reset date, so this preferred stock is call protected until the next reset date in 2029.
New Average cost per share: C$16.05 (500 shares)
 |
| Price as of 5/16/25 Close - Unrealized Gain at C$1,980 |
The AC was reduced from C$16.88
Dividend: Paid quarterly and cumulative
Current Annual Dividend on 500 shares: C$739.75 before withholding tax
Canada Withholding Tax = 15%
Foreign Tax: Credit or Deduction? | Charles Schwab I claim a tax credit and fill out the IRS Form 1116.
Yield at New AC: 9.22%
Computation: .05918% x. C$25 par value = C$1.4795 annual dividend per share ÷ $16.05 average cost per share =9.2181%)
Last Ex Dividend: 5/15/25
Last Buy Discussions: Item # 2.A. Added to ENBPRP:CA - Bought 100 at C$16.2 (11/15/22 Post); Item # 3.A. Added to ENB.PRP:CA Bought 50 at C$11.98 and 50 at C$11.76 (6/13/20 Post); Item # 3.A. Added to ENB.PRP:CA-Bought 50 at C$16.47 (2/16/20 Post); Item # 2.A. Bought 50 ENB.PRP:CA at C$15.68 (11/27/19 Post)
Sell Discussions: Item # 1.A. Sold 100 out of 400 ENBPRP:CA at C$20.20 (12/31/21 Post)(profit snapshot = C$368); Item # 4.A. Sold 200 ENBPRP at C$19.91 (3/25/17 Post)(profit snapshot = C$963, contains a snapshot of a prior realized gain of US$1,458.25 converted from C$ 1,814.)
My video: Canadian Reset Equity Preferred Stocks - YouTube
The tax reportable USD gain would be lower.
IB does pay interest on my Canadian Dollars. I received US$643.55 last year in interest on the CADs owned in that account. For tax reporting purposes, the CAD interest payments were converted into USDs when made. A reportable tax transaction occurs when I sell CADs to buy USDs or CADs are sold to settle a trade made on the Toronto exchange.
I will consider exchanging some CADs for USDs when and if the CAD/USD goes back over .8.
2. Small Ball Buys:
The recent increases in intermediate and longer term interest rates make the dividend yields of bond like stocks less attractive. In addition, earnings can be pressured by higher refinancing costs.
A. Added 5 CAG at $22.5; 5 at $22.22:
Quote: Conagra Brands Inc. (CAG)
Cost: $223.6
CAG Analyst Estimates | MarketWatch
CAG SEC Filed Annual Report for the Fiscal Year Ending 5/26/24
New Average Cost per share: $26.36 (99+ shares)
Dividend: Quarterly at $.35 per share ($1.4 annually)
CAG Dividend History & Date | Seeking Alpha
I am reinvesting the dividend.
Yield at New AC: 5.31%
Last Ex Dividend: 4/28/25
Last Earnings Report (Q/E 2/23/35): I discussed this report in a recent post: Item # 1.B. Added to CAG - Bought 5 at $23.73; 5 at $22.95 (5/9/25 Post); SEC Filed Earnings Press Release
I am not likely to buy more shares other than through dividend reinvestment, which I will continue for as long as each purchase lowers my average cost per share.
The stock is a falling knife that is in a bear market trend of unknowable duration.
I suspect that a bottom has occurred near $22 based on valuation and dividend yield at that price. It remains to be seen whether that opinion will be confirmed or disproven by subsequent events.
Last Sell Discussion: Item # 2.H. Sold 5 CAG at $33.07 (9/12/24 Post)
B. Initiated COLD - Bought 10 at $17.8; 5 at $17.55:
Quote: Americold Realty Trust Inc. (COLD) - Cold Storage REIT
Cost: $265.75
10-Q for the Q/E 3/31/25 Page 14 summarizes the significant amount of debt. The uptrend in interest rates will decrease cash available for distribution.
This REIT is a "global leader in temperature-controlled storage, logistics, real estate and value-added services". As of 3/31/25, the company "operated 238 warehouses globally, totally approximately 1.4 billion cubic feet, with 194 warehouses in North America, 25 in Europe, 17 warehouses in Asia-Pacific, and 2 warehouses in South America". Page 9, 10-Q
Average cost per share: $17.72 (15 shares)
Dividend: Quarterly at $.23 per share ($.92 annually), last raised from $.22 effective for the 2025 first quarter payment. The quarterly dividend was at $.2 in 2020. This dividend is currently comfortably supported by cash available for distribution.
COLD Stock Dividend History & Date | Seeking Alpha
The best way to increase the dividend yield is not through dividend increases, which are slow and relatively insignificant at best, but by lowering the average cost per share through purchases at lower prices.
Yield at $17.72 = 5.19%
Last Ex Dividend: 3/28/25
Last Earnings Report (Q/E 3/31/25):
SEC Filed Press Release and Supplemental
Revenue: $629M, down 5.4% and -4.4% on a constant currency basis.
Adjusted FFO = $95.7M
Adjusted FFO per share: $.34, down 9%
2025 Outlook: Adjusted FFO per share of $1.42-$1.52
Reconciliation GAAP Net Income to AFFO:
Note the maintenance expenses are deducted from Core FFO in the AFFO calculation.
The decline in revenues and AFFO may be reflected in the decline in the share price. The stock closed at $33.53 on 8/27/23.
Maximum Position: 100 Shares
Purchase Restriction: 10 or fewer share lots with each lot bought at the lowest price in the chain.
C. Added to GMRE - Bought 2 at $6.73; 5 at $6.5; 5 at $6.3; 5 at $6.08:
Quote: Global Medical REIT Inc. (GMRE) - Internally Managed Healthcare REIT
Cost: $107.84
Goal: Any profit in excess of the dividend payments.
Equity Preferred Stock: I also own 30 GMRE-PA shares. The tax cost basis is at $22.19. I own 15 share lots in both my Fidelity and Schwab Accounts.
Coupon: 7.5% paid on a $25 par value
None of the dividends paid by this preferred stock last year were supported by ROC:
GMREPRA Buy Discussions: Item # 5.I. Added to GMREPRA - Bought 5 at $23.06 (10/25/22 Post); Item # 4.C. Bought 10 at $24.66 (10/11/22 Post); Item # 2.A. Bought 10 GMREPRA at $21; 5 at $16.88 (4/18/20 Post); Item # 2.A. Bought 10 GMREPRA at $21; 5 at $16.88 (4/18/20 Post)
GMREPRA Sell Discussions: Item # 1.B. Sold 70 GMREPRA at $25.87 (4/24/19 Post)(profit snapshot = $208.36); Item # 1.A. Sold 30 GMREPRA at $24.84 (2/20/19 Post)(profit snapshot = 9.79)
3. Small Ball Sells:
I have restricted myself from selling any stock or stock fund unless the price is higher than the closing price on 2/19/25 when the S&P hit its all time high.
The other precondition for a stock or stock fund sale is VIX movement below 20. That condition is no longer present.
When and if the VIX spikes into the high 20s or higher, I am supposed to increase the dollar amount of stock purchases.
One reason for those preconditions is to prevent me from reducing my stock allocation allocation that is already extremely low
E.G. Fidelity Account (1 of 4) Allocation as of 5/22/25:
A. Pared KMI - Sold 10 at $28.01 - Vanguard Account:
Quote: Kinder Morgan Inc. (KMI) - Energy Infrastructure
Proceeds: $280.05
Closing Price 2/19/25: $26.89
Last Discussed: Item # 2.A. Sold 10 KMI at $29.77 (1/22/25 Post)
Profit Snapshot: $140 (5/18/25 sale only)
Total KMI Realized Gain in 2025: $441.36 (30 shares)
Average Cost per share: $14.01 (60 shares)
 |
| Snapshot after Pare- Price as of 5/16/25 Close |
Since I am selling shares from a 100 share lot, the average cost remains the same. Item # 1. Bought 100 KMI in Vanguard Taxable Account at $15.89 (1/7/22 Post)
There has been some ROC adjustments to the tax cost basis which accounts for my current tax cost basis of $14.01 per share.
Dividend: Quarterly at $.2925 per share ($1.17 annually), last raised from $.2875 effective for the 2025 second quarter payment.
KMI Stock Dividend History & Date | Seeking Alpha
Yield at AC: 8.35%
Last Ex Dividend: 4/30/25
Last Earnings Report (Q/E 3/31/25): SEC Filed Press Release
GAAP E.P.S. = $.32
Adjusted E.P.S. = $.34
Revenues: $4.241B
Net Income to Free Cash Flow:
2025 Guidance: Adjusted E.P.S. of $1.27 up 10% from 2024.
Owned KMI SU Bonds:
3 KMI 4.3% Maturing on 6/1/25
2 KMI 4.3% SU Maturing on 3/1/28, Bond Page | FINRA.org
2 KMI 5% SU Maturing on 2/1/29, Bond Page | FINRA.org
2 KMI 5.2% SU Maturing on 6/1/33, Bond Page | FINRA.org
Last Bond Offering (4/25): Prospectus
B. Pared MFC - Sold 5 at $32.02 - Schwab Account:
Quote: Manulife Financial Corp. (MFC)
Proceeds: $160.13
Closing Price 2/19/25: $29.78
CAD Priced Shares: Manulife Financial Corp (Canada: Toronto)
Canadian Dollar to US Dollar Exchange Rate Chart | Xe
I mentioned this sale in a comment published on 5/16/25.
The shares traded on the NYSE in USDs will generally reflect the price on the Toronto exchange with the CAD price converted at the then current CAD/USD exchange rate.
MFC 2024 SEC Filed Annual Report
Profit Snapshot: $103.1
Last Discussed: Item # 1.A. Pared MRC - Sold 5 at $31.59 (4/5/25 Post) I discussed the 2024 4th quarter report in that post.
Average cost per share: US$11.41 (70 shares)
The AC per share remained unchanged since I sold shares that were part of a purchase made at $11.41. Item # 2.D. Bought 100 MFC at $11.41 (5/9/2020 Post)
Dividend: Quarterly at C$.44 per share
Manulife increases common shareholders’ dividend by 10.0% (2/19/25)
The dividend is paid in Canadian dollars and will be converted to USDs based on the then current CAD/USD exchange rate. It is consequently not possible to predict the dividend yield due to changes in the exchange rates.
Dividends in USDs: Manulife Financial Corporation (MFC) Stock Dividend History & Date
Last 4 Dividends in USDs: US$1.205. This includes the US$.3194 dividend that went ex on 5/21/25.
Yield at US11.41 AC per share using US$1.205 annual: 8.36%
The yield is before the 15% withholding tax collected by Canada.
Last Earnings Report (Q/E 3/31/25): SEC Filed Earnings Press Release
All amounts are in Canadian Dollars.
Core E.P.S. = $.99, up from $.91
Lowest price paid 2020 to Date: Item # 2.C. Bought in Fidelity Account 10 MFC at $10.15; 2 at $9.3; 2 at $8.9 (5/9/20 Post) Those lots have been sold.
Other Sell Discussions: Item # 2.A. Sold 5 MFC at $32.79 (11/27/24 Post)(profit snapshot = $106.95); Item # 2.A. Pared MFC - Sold 5 at $32.79 (11/27/24 Post)(profit snapshot = $106.95); Item # 4.B. Pared MFC Again - Sold 5 at $32.38 (11/14/24 Post)(profit snapshot = $104.39); Item # 3.B. Pared MFC Again - Sold 5 at $30.36 (10/16/24 Post)(profit snapshot = $94.9); Item # 2.B. Pared MFC - Sold 5 at $29.29 (10/10/24 Post)(profit snapshot = $91.44, discussed second quarter earnings report, SEC Filed Earnings Press Release for the Q/E 6/30/24); Item # 1.G. Eliminated Duplicate Position in MFC - Sold 14 at $20.1 - Fidelity Account (3/6/23 Post)(profit snapshot = $143.61); Item # 1.A. Sold 32 MFC at $20.63 (2/2/20 Post)(profit snapshot = $104.79); Item # 2.A. Sold 20 MFC at $18.78 (11/2/19 Post)(profit snapshot = $7.69); South Gent's Comment Blog # 7: Sold 100 MFC at $18.28 (profit = $481.06; IB Account).
Realized MFC Gain In USDs: $1,439.64
Owned Reset Equity Preferred: MFC-PM.TO, reset on 11/20/24 for five years at a 2.36% spread to the five year Canadian bond yield resulting in a new coupon of 5.542%, Manulife Financial Corporation announces Dividend Rates on Non-cumulative Rate Reset Class 1 Shares Series 17 and Non-cumulative Floating Rate Class 1 Shares Series 18; Item # 2.A. Bought 100 MFCPRM:CA at C$15.14 (7/25/20 Post). At a C$15.14 total cost, the new yield is about 9.15%.
Owned SU Bond: 2 SU 4.15% Maturing on 3/4/26, Bond Page | FINRA.org
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| Snapshot after pare/Price As of 5/19/25 Close |
 |
| Berkshire Hathaway A & B at 42.02% |
 |
| Remaining Position after pare/Price as of Close 5/20/25 |
Guides to adjusted EBITAal to €11B - €11.3B in F/Y 2026 with F/Y 2025 at €11B.
A. Bought 2 Public Service of Oklahoma 5.2% SU Maturing on 1/15/35 at a Total Cost of 97.161 - Fidelity Account:
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Issuer: Wholly owned operating subsidiary of the utility holding company American Electric Power Co. Inc. (AEP)
AEP 10-Q for the Q/E 3/31/25 Public Service of Oklahoma results can be found at pages 79-86.
Annual Financial Data 2022-2024:
AEP 2024 Annual Report at page 159
Finra Page: Bond Page | FINRA.org
Credit Ratings: Baa1/BBB+
YTM at Total Cost: 5.582%
Current Yield at TC: 5.352%
B. Bought 2 General Mills 4.95% SU Maturing on 3/29/33 at a Total Cost of 98.526 - Fidelity Account:
%20.png)
Issuer: General Mills Inc. (GIS)
I have a position in the common stock.
Last GIS Discussion: Item # 2.B. Added to GIS - Bought 5 at $53.8 (5/16/25 Post)
GIS Analyst Estimates | MarketWatch
SEC Filed Earnings Press Release for the Q/E 2/23/25
Finra Page: Bond Page | FINRA.org
Credit Ratings: Baa2/BBB
YTM at Total Cost: 5.18%
Current Yield at TC: 5.024%
C. Bought 1 Public Service Electric & Gas 5.375% First Mortgage Bond Maturing on 11/1/2039 at a Total Cost of 99.12 and 1 at a 98.255 Total Cost - Fidelity Account:
%205.375%25%2011:1:39%20%20.png)
%20.png)
Issuer: Wholly owned operating subsidiary of the utility holding company Public Service Enterprise Group Inc. (PEG)
PEG SEC Filed Earnings Press Release for the Q/E 3/31/25
10-Q for the Q/E 3/31/25
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| 10-Q at page 7 |
Finra Page: Bond Page | FINRA.org
Credit Ratings: A1/A
YTM at 99.12 Total Cost: 5.464%
Current Yield at 99.12 TC: 5.423%
YTM at 98.225 TC: 5.555%
Current Yield at 98.225 TC: 5.472%
This is my first purchase of a corporate bond maturing in 2039.
With this purchase, I replaced the 2 FM bonds that matured on 5/15/25:
D. Bought 1 Entergy Louisiana 5.35% First Mortgage Bond on 3/15/34 at a Total Cost of 99.941 - Fidelity Account:
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Issuer: Wholly owned operating subsidiary of the utility holding company Entergy Corp. (ETR)
This is my first purchase of this bond. I currently own 4 Entergy Louisiana 5.15% first mortgage bonds maturing on 9/15/34. Bond Page | FINRA.org
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| In Thousands, 10-Q at page 90 |
Finra Page: Bond Page | FINRA.org
Bond Prospectus
Credit Ratings: A2/A
YTM at Total Cost: 5.357%
Current Yield at TC: 5.353%
E. Bought 1 Idaho Power 5.2% First Mortgage Bond Maturing on 8/15/34 at a Total Cost of 99.289 - Vanguard Account:
%205.2%25%208:15:34.png)
Issuer: Wholly owned operating subsidiary of the utility holding company IDACORP Inc. (IDA)
I have eliminated a small ball position in the IDA common stock.
This is my first purchase of a first mortgage bonds issued by Idaho Power.
IDA SEC Filed Press Release for the Q/E 3/31/25
Finra Page: Bond Page | FINRA.org
Bond Prospectus
Credit Ratings: A2/A-
YTM at Total Cost: 5.297%
Current Yield at TC: 5.237%
Last Bond Issuance (3/24): Prospectus for $400M 5.7% First Mortgage bonds maturing in 2055.
F. Bought 2 LYB International Finance 5.5% SU Maturing on 3/1/34 at a Total Cost of 97.253 - Vanguard Account:
%203:1:24.png)
Issuer: Wholly owned subsidiary of LyondellBasell Industries N.V. Cl A (LYB) who guarantees the notes:
LYB Analyst Estimates | MarketWatch
SEC Filed Earnings Press Release for the Q/E 3/31/25
Finra Page: Bond Page | FINRA.org
Credit Ratings: Baa2/BBB
YTM at Total Cost: 5.904%
Current Yield at TC: 5.655%
Last Bond Offering LYB International Finance III (5/25): Prospectus for $500M 6.150% SU Maturing in 2035.
G. Bought 2 Public Service of Colorado 5.35% First Mortgage Bond Maturing on 5/15/34 at a Total Cost of 99.453:
%205.35%25%205:15:34%20.png)
Issuer: Wholly owned operating subsidiary of the utility holding company Xcel Energy Inc. (XEL)
This IPO for this bond was last March. The offering price was at 99.735.
 |
| Amounts in Millions |
Credit Ratings: A1/A
YTM at Total Cost: 5.428%
Current Yield at TC: 5.379%
I now own 4 bonds with 2 of those owned in a Roth IRA account and bought at a lower price.
H. Bought 2 Evergy Kansas Central 5.25% First Mortgage Bonds Maturing on 3/15/35 at a Total Cost of 99.149 - Interactive Brokers Account:
%203:15:35%205.25%25.png)
Issuer: Wholly owned subsidiary of the utility holding company Evergy Inc. (EVRG)
Evergy was created from a merger of Westar Energy of Topeka, Kansas and Great Plains of Kansas City, the parent company of Kansas City Power & Light.
I have eliminated my EVRG common stock position.
EVRG Analyst Estimates | MarketWatch
 |
| In Millions/P. 15, 10-Q |
Finra Page: Bond Page | FINRA.org
Bond Prospectus (3/25):
Credit Ratings: A2/A
YTM at Total Cost: 5.361%
Current Yield at TC: 5.295%
5. Treasury Bills:
A. Bought 10 Treasury Bills at the 5/19/25 Auction -Schwab Account:
Matures on 11/20/25
Interest: $209.3
Investment Rate: 4.287%
6. Exchange Traded First Mortgage Bond:
A. Bought 5 ELC at $20.52 - Schwab Account:
Cost: $102.59
Interest Rate Risk: HIGH and asymmetric in favor of the issuer
The interest rate risk resulting from an early call due to a significant decline in interest rates is mitigated by the realized gain at a $25 par value call. I want this bond to be called but the 30 year bonds will need to decline significantly in yield for that to happen.
Last Discussed: Item # Item # 2.O. Added to ELC in Schwab Account - Bought 5 at $20.6 and Item 2.P. Added 5 ELC in Fidelity Account at $20.3 (4/4/25 Post); Item # 2.G. Bought 5 ELC at $20.75 in Schwab Account (3/18/25 Post)
Entergy Louisiana is an operating subsidiary of the utility holding company Entergy Corp. (ETR).
Par Value: $25
Coupon: 4.875% paid on a $25 par value
Interest Payments: Quarterly
Trades Flat: (no accrued interest is payable to the seller, whoever owns on the ex interest date receives the entire interest payment)
First Mortgage Bond, with lien attaching to substantially all assets.
Credit Ratings: A2/A
New Average cost per share this account: $21.03 (65 shares)
Yield at $21.03: 5.795%
Computation: .04875% coupon x. $25 par value = $1.21875 in annual interest per share ÷ $21.03 average cost per share = 5.7953%
Next Ex Interest: 5/30/25
Investment Category: Exchange Traded Baby Bonds {I do not include in this post several categories of exchange traded bonds including trust preferred, synthetic floaters, SU notes tied to the performance of an index, and trust certificates, see Trust Certificates; Synthetic Floaters, Trust Preferred Securities, Item # 1 Principal Protected Notes, Item # 2 Principal Protected Notes. While those securities are exchange traded bonds, they have qualities that separate them from the baby bond category that are simply bonds traded like stocks with no quirkiness)
Other Recent Buy Discussions: Item # 2.B. Bought 5 ELC at $21.25 - Fidelity Account (2/10/25 Post); Item #7.A. Added 5 ELC in Vanguard Taxable Account at $21.15 (1/15/25 Post); Item # 7.A. Added to ELC in Fidelity Account - Bought 5 at $21.29 and Item #1.C. Added to ELC in Schwab Account - Bought 5 at $21.15 (1/1/25 Post)
I am working my way up slowly to 100 shares in each of 3 taxable accounts. I currently own 100 shares only in my Fidelity account.
I own 30 in my Vanguard taxable account and 65 in my Fidelity account. I am consequently allowed to buy up to 105 more ELC shares.
The YTM at $21.03 with a redemption at maturity (9/1/66) is about 5.91%.
It is possible to buy a $1,000 par value FM bond from this issuer that has a higher coupon and YTM and a somewhat shorter maturity date. I recently bought an Entergy Louisiana Item # 2.I. Bought 1 Entergy Louisiana 5% FM Bond Maturing on 7/15/44 at a Total Cost of 86.683 (5/9/25 Post)(At total cost, the YTM was then at 6.1875% with the current yield at my total cost at 5.768%.)
If I was lucky and there was an ELC early call on 9/1/2030, the YTM would then be about 8.84% and at around 11.18% with a call on 9/1/28. An early call of the $1,000 par value bonds that have higher coupons and maturities in 2040 and 2050s, which have make whole protections, would not be called after a substantial decline in long term interest rates.
The exchange traded bond may be easier to sell and pays interest quarterly compared to semiannual payments for the $1,000 par value FM bonds.
7. REIT Equity Preferred Stocks:
I view preferred stocks as a disfavored asset class. They combine the less desirable features of both bonds and stocks.
These securities are equity capital but do not represent an equity ownership interest.
While the bond like quality is the dominant one, the preferred stock lacks the protections of senior unsecured debt.
The result is that the price will decline when interest rates rise and/or credit risk fears intensify far more than senior unsecured debt.
A. Eliminated NSA.PRA in Schwab Account - Sold 10 at $23.385 and Bought 10 NSA.PRB at $22.13:
Same issuer, both have $25 par values and 6% coupons.
I call this trade a substitution of one functionally equivalent preferred stock for another from the same issuer that has a higher current yield.
Issuer: National Storage Affiliates Trust (NSA)
Investment Category: Advantages and Disadvantages of Equity REIT Cumulative Equity Preferred Stocks, part of the Equity REIT Common and Preferred Stock Basket Strategy
Proceeds NSAPRA: $233.85
Profit NSAPRA: +$9.03
NSAPRA Quote: NSA-PA
Last Discussed: Item # 5.A. Added 5 NSAPRA at $21.95 (8/8/24 Post)
REIT Equity Preferred Stock
Par Value: $25
Coupon: 6%
Optional Call: At par value + accrued and unpaid dividend on or after 10/11/22.
Maturity: None, potentially perpetual
Stopper Clause: Standard (company must eliminate the cash common share dividend before deferring payment of the preferred dividend)
Dividends: Paid quarterly and cumulative.
Next Ex Dividend: 6/13/25
Company Page: Series A Preferred Shares-National Storage Affiliates Trust (NSA)
NSAPRB Quote: NSA-PB
The only material difference IMO is that NSAPRB has call protection until 9/15/2043, while NSA.PRA can be called at par value now. As with other preferred stocks, a call may occur earlier in the event it is necessary to maintain the REIT tax status. I am not aware of any REIT stock being called using that limited exception.
Yield at $22.13: 6.78%
Next Ex Dividend: 6/13/25 (same as NSAPRA)
B. Pared NSAPRA in Fidelity Account: Sold 10 of 40 at $23.6:
See Item # 7.A. above.
I sold my highest cost lot.
Proceeds: $236
Profit Snapshot: $4.8
New Average cost per share this account: $22 (30 shares)
Yield at New AC = 6.82%
Calculation: 0.06% coupon x. $25 par value = $1.5 annual dividend per share ÷ $22 average cost per share = 6.8182%
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.
Today's very mild reaction to Trump's most recent tariff threats against Apple and the EU is probably due to a consensus opinion that he will not carry through with those threats.
ReplyDeleteI take Trump's threats more seriously since he now believes there is no effective restraint on his actions and he will do whatever he wants to do. His natural tendency is to aggressively retaliate to opposition and to punish whoever does not obey him.
Useful assessment to know.
ReplyDelete"‘Buckle up, this ride’s far from over’: Trump’s EU tariffs delay is no guarantee trade tensions won’t escalate, market watchers say"
ReplyDeletehttps://www.cnbc.com/2025/05/26/trump-delays-eu-tariffs-but-more-volatility-could-be-on-the-way.html
In a "Truth" Social post last week, Trump stated that he would impose a 50% tariff on EU country exports starting on 6/1/25. The current temporary tariff on EU country exports is 10% that had been reduced from the 20% retaliatory tariff imposed in early April. There was a 90 day pause in implementing the retaliatory tariff that would expire in early July. The 6/1 start date was an early termination of the 90 day pause.
After receiving a call from the EU Commission President Ursula von der Leyen, Trump delayed an increase in the tariff until the original end date of the 90 day pause.
As I mentioned in the prior comment, the reaction in the market last Friday was based on a consensus opinion that Trump would not impose the 50% tariff on EU country exports or the 25% tariff on Apple IPhones and other phone exports including those made by Samsung.
May the market rally and keep their illogical opinion.... Long enough for me to get out.
ReplyDeleteCboe Volatility Index (VIX)
ReplyDelete19.20 -3.09 -13.86%
Last Updated: May 27, 2025 at 12:38 p.m. CDT
https://www.marketwatch.com/investing/index/vix?mod=home_markets
The VIX is the volatility index for the S&P 500.
The renewed optimism can be traced in part to a better than expected consumer confidence report released earlier today. That improvement is purportedly due to Trump reducing the 145% "retaliatory" tariff on China's exports to 30% for 3 months as signaling to many consumers that the trade war is working. I see no rational, fact based justification for that opinion. Trump is and will continue to be impulsive, crazy and and a constant generator of chaos.
Another reasons for the rally may be Trump backing down after a phone call from the 50% tariff threat made against EU country exports last week, starting on 6/1/25, up from the 20% retaliatory tariff made in early April that was reduced to 10% shortly thereafter for 90 days, with that pause period ending in early July. Trump has now paused the 50% levy until the first pause would have ended without the threat made last week.
I am not likely to do any selling today even though the VIX is currently trading below 20 and I have several stocks trading higher than their respective closes on 2/19/25. The current enthusiasm may take prices higher.
I noticed that a recent Lottery Ticket purchase received a buyout offer which was rejected:
Hologic Inc. (HOLX):
$62.54 $8.26 +15.21%
Last Updated: May 27, 2025 at 1:51 p.m. EDT
https://www.marketwatch.com/investing/stock/holx
https://www.reuters.com/business/healthcare-pharmaceuticals/hologic-rejects-16-billion-take-private-proposal-tpg-blackstone-financial-times-2025-05-27/
I published a YT video discussing a major development after the market closed today. A 3 judge panel blocked the enforcement of most tariffs imposed by Trump, holding in a summary judgement that Trump exceeded his authority in imposing tariffs.
ReplyDeletehttps://www.youtube.com/watch?v=QVuEvX5IC7A
Wow!
ReplyDeleteLand: There is still considerable uncertainty on what happens next. Trump is appealing the the summary judgment that he lacked authority for the tariffs issued under the International Emergency Economic Powers Act of 1977. I agree with that decision and the basis for it is appealing to the 6 Republican Supreme Court Justices. The next action in that case will be for the government to file an motion to stay the decision.
DeleteTrump could impose a 15% tariff to address a balance of payment deficit under Section 122 of the Trade Act of 1974, but that can stay in effect only for 150 days. Given the limited time period, he will not be able to use that law to coerce any country to sign a trade deal. The foreign country would just wait until the time expired.
There are other options still available to Trump:
https://www.cnbc.com/2025/05/29/trump-expected-to-find-a-workaround-after-trade-court-blocks-tariffs.html
I am going to stick to my plan to pare some stock positions when the two preconditions are met: (1) a stock price higher than the close on 2/19/25 and (2) VIX movement below 20.
ReplyDeleteTrump's Tariff War is not over but is currently in state of flux.
I view the reasoning of the 3 judge panel as having appeal to the 6 Republican Justices, but Trump has other options to cause chaos.
The 3 judge panel or the appellate grant may grant a motion to stay that judgment pending the appeals. I do not see the panel granting a stay beyond the 10 days mentioned in the judgment.
If the appellate court refuses to do so, that could reflect their agreement with the 3 judge panel on the merits or an opinion that the balance of harm weighs in favor of those paying the tariffs during the appeal process. The considerations for a stay include the government showing a strong likelihood of success on the merits, potential irreparable harm to the government if the stay is not granted, minimal harm to those paying the tariffs if the stay is granted, and a public interest that favors granting the stay.
Trump has other options under different trade laws.
The U.S. Court of Appeals issued a temporary administrative stay of the judgment entered by the 3 judge panel. The tariffs remain in force until this stay is lifted. The purpose of the administrative stay is to allow the plaintiff's an opportunity to file a brief in response to the government's motion to stay, which has to be filed on or before 6/5/25. The government can file a reply brief on or before 6/9/25. Since I would expect the reply brief, a decision is unlikely on or before 6/9.
ReplyDeleteThe Appellate panel may or may not hold a oral argument before granting or denying the government's motion to stay the judgment and injunction prohibiting the enforcement of Trump's "retaliatory" and fentanyl related tariffs issued under the 1977 International Emergency Economic Powers Act pending resolution of the appeal process.
I had been expecting a rally today, but if petered out very early. There's a lot of uncertainty that this panel's ruling will mean anything.
ReplyDeletePossibly there's been an assumption all along that these were trading negotiation methods, and not a big deal. (I'm not agreeing with that.)
Land: I am certain that Trump is crazy but lack certainty on when his tariff war will end.
DeleteEven if the Court of Appeals for the Federal Circuit refuses to stay the judgment and injunction issued by the 3 judge panel, with a decision likely as early as mid-June, Trump has other options including product specific tariffs under a different statute that go beyond steel and aluminum that have already been imposed, up to 15% tariffs for 150 days under another statute, and other statutory options. So the chaos is likely to continue with uncertainty remaining inevitable.
Trump was angry when a reporter told him about the TACO trade ("Trump always chickens out") Knowing that he is being called chicken may make it more likely Trump will not back down in the future given his personality and his core belief that he is a strongman like Putin, Kim and other authoritarians that he admires and respects.
I sold 18 Texas instruments today at $185.70/shr after hours. Profit of about $360. I bought in December 2018 during the down period. So it's not much gain, but it was around 4% dividends the whole time.
ReplyDeleteIs it a lot of going into the red during this downturn, and I don't get the feeling it's going to hold up well if there's a crash.
Though I have a long enough horizon, that I could hold through a downturn.
I have published a new post:
ReplyDeletehttps://tennesseeindependent.blogspot.com/2025/05/aple-cold-cpb-doc-nomd-pplprcca-stag-umh.html