Kind of strange. I put in a limit order to buy RSO monday opening at $4.36 which is where it closed on Friday. Woke up today to see it triggered at $4.34 which made me happy. Yet yahoo shows it opened at $4.36. Not that I every really trust what yahoo posts. Guess I'll take a lucky break every once in awhile. Now I just need to see some positive news from Jon Cohen and Co.
In reality, economy is not doing all that great. GDP rose 0.2% in Q1. However, if it wasn't for the largest rise in inventory buildup in history, GDP would have actually shrunk 2%. 90% of households continue to see their finances squeezed with rising bills in debt, medical costs, and food. This has been the most cetrally planned 'recovery' in modern times, but it appears the wheels are slowly coming off. Those who have a lot of money invested better hope QE4 is coming soon.
Okay then. Thought there might be a universal answer to a situation like this, but maybe not? I've been reading up on this but have yet to find a 100% answer. I have been using a CPA but am trying to wean off her and start doing it myself. Part of the reason why I've sold off some MLPs I know I do not want to hold long term. In the end I'll likely just keep EPD and MMP and deal with the K1 and assiciated forms myself. Thanks for your suggestions.
I also think there are some stocks where a determined hedge fund and/or algorithm can mess with a stock. You can usually tell with the ask/bid are showing
Usually I buy an MLP and intend to hold onto it for the long term. But I find myself in a situation this year where I sold a few upstream MLPs for a profit of around $20,000 (including distributions) that will all be taxed as ordinary income since I did not hold for a full year. I also have accumulated roughly $8,000 of short term losses so far in 2015 by selling some (non MLP) stocks.
My question is come tax time, can I use that $8000 of non-MLP losses to offset the $20,000 of MLP gains that will be taxed as ordinary income? My gut says no, as everything I've read points to MLP income being shielded off from everything else. But in my readings I cannot find a definitive answer on the subject. I'd like to know for sure so that I can do some tax planning for the rest of 2015.
A second question pertains to when any given MLP holdings reaches the point where the cost basis goes to zero. Once that happens, I believe any further distributions are taxed as ordinary income, yes? Can short term losses from other stocks offset the ordinary income from MLP distributions then?
Thanks in advance for anyone taking the time to respond.
Even if the supreme court ruling goes in favor of states continuing to use the federal ACA portal, there are still other issues to figure out. I read where almost half of the state exchanges are struggling financially. Something else to keep an eye on.
I'm planning on putting in a limit order over the weekend to buy RSO below $4.40 to trigger first thing monday. Not sure why it is going down so much. Perhaps too many have gotten burned by RSO over promising and under delivering over the past 2 years. I think this latest dividend cut should be the final one needed to finally get RSO on the right side of having payouts below net income. RSO is being priced to where market thinks they will be cutting the dividend again, which I don't think will happen. Hopefully we will see a 10% or greater pop when earnings come out and people see the dividend is secure.
Luck favors the prepared, or so the wise men say. Good going keltus, I raise a Stone IPA now to your good fortune.
As to where to invest now, may want to take a look at GBX and ARII. TRN as well, although the DOJ investigation makes that one a risky bet. DOT reg changes on oil rail cars could give these companies a *lot* of business over the next few years. All 3 popped big today, which made me smile since I already own GBX and TRN. Still, might be a lot more green days on the horizon!
The beauty of this is if the train derails and catches on fire, the cargo will go a long way towards putting it out right away. :-)
One can speculate that the market thinks oil will be back over $80 by end of this year or early next year, thus negating the superior hedging by MEMP. Conversely, one can speculate that oil and natural gas remain quite weak going past 2016, which would cause even MEMP to have to make a distribution cut from $2.20 down to say $1.74. MEMP seems to be trading at a unit price that leads to around a 10% yield at this proposed distribution cut range. That's how I see it anyways.
I also think it's likely true that LINE is usually over valued compared to peers just given its name recognition amongst the average investor. Most folks pile in to names they know instead of doing the research needed to finding the hidden gems in the sector like MCEP, MEMP, or ARP.
Anybody own NAP in addition to NNA? I came close to buying in around $14 but held off. Now I'm kicking myself. How much longer before they do an equity raise do you think?
I once came close to doing that when I was dating a gymnast. All kidding aside, it does beg the question how one could do all that without 'help'.
I can only surmise that many are locking in profits in expectation that it's only a matter of time before spot rates start falling hard again during spring/summer. I think it is likely they will fall, but seems like the fall will be rather modest. If VLCC can hold 50000 and suez can hold 34000, good cash flow should continue to flow in thus keeping the increased dividends intact. It's interesting that with the current sell off, one can buy NAT today and get a 12% yield. Stock has gone down $0.60 since the dividend was tripled from before. Strange.
It's like that age old joke....goes something like 'yeah I'm losing money on every widget sold, but I'm making it up on volume!" :-)
What's funny about even that worst case scenario, is that by the time HCV revs die out and GILD shuts the company down, there will be like $50/share to return to GILD investors. So we are trading at estimated 2x cash holding value should GILD shut down after say 10 strong years of HCV plus other pipeline revenue. Just how dumb can BofA be? Makes me ashamed to have most of my wealth and accounts tied up with Bank of America and Merrill Lynch.