As I had said before I was waiting for a return to above 6.00 to ditch this dog and thankfully I was able to get out today. Took the proceeds and invested evenly in TICC, PSEC, and FSC. Not much of a drop in dividend income. I believe more upside in pps and come next spring when RSO cuts the dividend the income from these 3 will exceed RSO. Adios!
Mysonchino, I sold 16,000 shares of RSO in my IRA and may clear the books soon with the other shares in my individual account. History is that earnings won't support the dividend. I've seen this before when we went from $0.30 to $0.25 and again from $0.25 to $0.20. It's all about earnings not promises. It's been a great song they sing but, I don't plan to dance to it anymore. Good Luck, pardner.
Always good to hear from you. I sold 1/2 of my position after last earnings announcement and haven't been sorry at all since I was able to reinvest the proceeds satisfactory. I am concerned, as you are about RSO not being able to cover their dividends. Never a good thing to be happening. However, what worries me more is the amount of their "miss". If it was one cent, then there is a good likelihood of it being made up in the next quarter, but four cents, I don't think it will. So, what to do? Today may be a good day to lighten up a bit more.
Anyway, wishing you the best.
Smart move. I'm looking for a slightly higher exit also. I just don't see a catalyst for a stronger mover toward $7. Nothing but negatives on the horizon including political shenanigans and a ultimate Fed tapering..
If you already put 1/3 of your money to FSC today you are already send Bernanke back his gift they just do a PO after hours. I think RSO will perform better in the long run then the three that you list above, I am also long on PSEC.