It might provide a good opportunity to get in at decent prices on mreits and bdcs
I added PSEC @ 10.66.
I added FSC @ 10.53
If we get more downward pressure on some reits like MTGE, AGNC, WMC, etc.
The prices will start to look attractive.
Nice work to those of you who sold AGNC over $33 last week.
Just throwing it out there.. the 2x mreit and 2x bdc funds. They seem to rebound nicely on some of these dips.
They are both down a bit over 4%.
MORL 29.20 -1.24 (-4.07%) 59.36M
BDCL 25.54 -1.17 (-4.37%) 87.46M
I think we will see a summer swoon and much lower prices across the board. The pattern we have seen over the last few years has been to go up over 10% to start the year, lose most or all of the gain over the summer, and to go back up towards year end. I dumped almost all of my PSEC and am mainly in cash. I do have 4,000 shares of ARR with a cost basis of $6.35. Typically reits are not very correlated to the general market, but as today shows, they do move with the general market to some degree. I think putting some dry powder away will offer some real good opportunities in a few months, especially the BDC's which will fall hardest if I am correct and we get the same pattern. GLTY.