tag:blogger.com,1999:blog-2986124651030959736.post8525621312446701464..comments2024-03-28T09:42:38.695-05:00Comments on Stocks, Bonds & Politics: Bought 50 ORHPRB at $20.93/Bought 100 AOR at $28.27/Australia Raises Its Benchmark Rate/PSEC/Going Nuts Over Money Market Rates/TENNINDEPENDENThttp://www.blogger.com/profile/17444227958539559639noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-2986124651030959736.post-62477462289658337052009-10-11T20:51:25.255-05:002009-10-11T20:51:25.255-05:00Kelley: Most of the time, the Trust Certificates ...Kelley: Most of the time, the Trust Certificates are lightly traded with fairly large bid/ask spreads. I was drawn to them for two reasons back in October. It is easier for an individual investor to buy exchange traded bonds with $10 or $25 par values, as distinguished from a $1000 par value bond typical for the bond market, and Trust Certificates and other exchange traded bonds frequently presented better values than the same or similar bonds from the same issuer traded in the bond market. <br /><br />Trust Certificates trade on the stock exchange so they can be purchased through any brokerage firm. If you are placing limit orders, then it would not be unusual for the order not to be filled due to the low volume. This would not be the fault of the brokerage firm. <br /><br /> I will only use a market order to buy a trust certificate when there is less than a 10 cent spread between the bid and ask, and then for no more than 100 shares. I will sometimes use GTC limit order well below the existing market. A market order will be filled for a round lot, meaning an order for a 100 shares, or multiples thereof, even in this thinly traded market. <br /><br /> A limit order for an odd lot, like fifty shares, will frequently not be filled for a TC when placed at the prevailing bid price and when volume is light. <br /><br />Also limit orders for odd lots in thinly traded securities are sometimes filled badly, like 1 share on a fifty share sell order , or at a higher price for a buy than any trade during the day. Both of those bad events have happened to me recently in the thinly traded TC or TP (Trust preferred) securities. <br /><br />Many of the TCs have enjoyed significant rallies over the past few months, and I have now lost interest in almost all of them. I suspect that the next major buying opportunity for them will be during a major inflation scare. The buying opportunity between October to March was due to credit fears of Financial Armageddon.<br /><br /> I am still nibbling at synthetic floaters in TC form, that pay the higher of a guarantee or a percentage above a short rate. http://tennesseeindependent.blogspot.com/2009/05/<br />synthetic-floaters.html But those securities have likewise enjoyed substantial rallies in price, making them more risky now than they were just a few months ago. <br /><br />If you could tell me how you are placing the orders, I may be able to provide you with more concrete assistance. If you want to send me an email, the email address is southgent1951@gmail.com, the link is in the profile section of the blog.TENNINDEPENDENThttps://www.blogger.com/profile/17444227958539559639noreply@blogger.comtag:blogger.com,1999:blog-2986124651030959736.post-79144940963240638932009-10-11T19:40:22.362-05:002009-10-11T19:40:22.362-05:00Thank you much for sharing your insightful researc...Thank you much for sharing your insightful research and opinions. I have tried on a few instances to purchase various TC's and some other equities and cannot seem to procure thru either etrade or ML, can you point me at a discount brokerage service which handles these?Unknownhttps://www.blogger.com/profile/05235349169790081445noreply@blogger.comtag:blogger.com,1999:blog-2986124651030959736.post-46092810823379783152009-10-06T11:59:29.869-05:002009-10-06T11:59:29.869-05:00Cathie: My Berkshire story is far worse: http://...Cathie: My Berkshire story is far worse: http://tennesseeindependent.blogspot.com/2009/06/bought-brkbsold-nvsmasters-of-disaster.html<br /><br />I recently bought back Verizon shares with the intent of selling them on a pop. I prefer AT & T primarily due to the fact that it owns 100% of its wireless network, whereas Verizon owns 55% of Verizon Wireless. I like the FIOS TV push by VZ. Both are suffering extensive land line losses. Both go ex dividend tomorrow. I own bonds from both of them, but my larger bond and stock positions are in AT & T. I would slightly prefer owning Vodaphone (VOD) over VZ. At least VOD has some potential growth opportunities in emerging markets. It may be just a few more months before we know whether Apple will end AT & T's exclusivity on the Iphone, most reports that I have read say the agreement ends in 2010. http://www.pcworld.com/businesscenter/article/173174/atandt_iphone_exclusivity_hangs_on_app_store_profits.html VZ could get a pop with a non exclusive deal with Apple and it would help Apple to tap that market of Verizon customers. But it would be hard to see the end to exclusivity as being a plus for AT & T.TENNINDEPENDENThttps://www.blogger.com/profile/17444227958539559639noreply@blogger.comtag:blogger.com,1999:blog-2986124651030959736.post-55606060828245165192009-10-06T10:50:52.632-05:002009-10-06T10:50:52.632-05:00I feel your pain regarding Apple. I bought it back...I feel your pain regarding Apple. I bought it back in 2005 when it was around $50 and sold it for a very small gain -- too soon, too soon! I was just getting started with investing and my right brain (intuition, love of novelty) was doing the buying. Now, of course, the other side (left brain) is completely in charge, post-"train wreck."<br /><br />I finally got out from under MSFT for a slight gain (wonder of wonders!) just before Goldman-Sachs took it off the Conviction Buy list. I wondered to myself, "What took them so long?"<br /><br />Right now my biggest decision is whether to buy more VZ, or "diversify" with some T, both offering a relatively secure 6% dividend. AT&T does have the iPhone on its side...for now.Anonymousnoreply@blogger.com