Housekeeping – Reader Notes
By: Tim McPartland,
Abrahim E let us know that we had the wrong 1st call date on the new Wells Fargo Real Estate Preferred shares. He is correct that we had it wrong on the alphabetical page, but it was correct on the other pages as well as the recap page. We have corrected the page in error.
Stanley thinks that the Entertainment Properties Trust 9% cumulative, convertible preferreds look interesting. At this very moment we aren’t following convertibles–but I have just decided to make that the March project (we will add convertibles during March).
Carlos mentioned he held Escalera Preferreds through the downturn and now has a decent profit. We should add that The Yield Hunter chickened out and sold in January and should have known that “this too shall pass”. Carlos thanked us for pounding the table on the MLP sector being in trouble a year ago.
Very longtime reader Howard P gave us a mild chastising for thinking about moving in and out of sectors based on what is in favor. He is correct—we wrote last week that we were surveying the REITs for potential sales because the sector is falling out of favor. At this point in time we don’t think there is serious trouble in the sector (just mild trouble) so we will stick in there for the most part.
As Carlos mentioned above we felt very strongly that the MLP sector was in trouble a year ago and moved almost totally out of the sector thereby averting disaster. We respect what Howard P has to say as he no doubt has more experience than we do in income investing and trying to be smarter than the market most times does pay.