BDCL is another trading vehicle that I use because of the volitlity. and high yield. Next month it will pay a dividend arround $1 so the pps wil rise going into the ex date. Currently its indicative value is declining and will create a good buy point soon. If you do not know what the indicative value is you do not have sufficient knowledge to trade BDCL.
Nominal yield of psec has always been around 12%, not 10%, its yield has to be higher to compensate for the increased risk of it's holdings. A dividend of .083 per month is on the low side, I think. The new dividend will probably be .10 or .09 per month and the pps should gravitate between 10 and 9 as a result. If the dividend was cut to .083 the pps would go under 9.
August was the best month ever, did very well on psec and loco, which I posted as they occurred, scroll back thru my posts and see. Any thoughts on MCC?
Dividend has not been covered for a year, management has not adopted to the new realities of the marketplace and thinks they can solve this by increasing risk. Note that institutional ownership has dropped from 25% to 17 % recently, big boys are getting out.............dividend will be cut and pps will drop further........
For a year now the dividend has not been covered with current earnings and it will be cut by 10-20% next time around, to .10 or .09 cents per month. Nominal yield for psec has averaged around 12%, PPS for a 12% yield and .10 dividend is $10, and for a 12% yield and .09 dividend is $9. That is what the future holds for psec right now, a drop in the dividend and a further drop in pps.
What, people like you can not stand the truth, this is a broken stock, and someone who rides it down 75 cents to pick up an 11 cent dividend and then brags about hurting shorts is not thinking clearly.
Well, since the last dividend payment psec has dropped 75 cents, so to collect an 11 cent dividend you have suffered a 75 cent loss in pps. Not smart. PSEC is going under $10 when the dividends are announced,
Worth 4 thumbs down, so far. Maybe more, did you know that I am a highly decorated retired AF pilot, flew gunships in Viet Nam and combat and combat support in every engagement from 1969 to 1992? When I retired in 1992 my daughter was 1 and son 6. At that point I decided to spend my time mentoring my children and the efforts were successful, You see, even then I had been a successful trader for 25 years and had amassed a small fortune so I, at the age of 48 never had to work again. If you side step potholes you to can be successful in your investing. PSEC right now is a pothole, if you are a buy and holder my advice is to get out now, and immediately buy another bdc that is less risky or buy bdcl which in Oct will pay arround a $1 div and whose price is currently depressed, with a yield of over 15%. Its pps should rise into the div ex date.
You are a sick person who never posts anything positve about anything..I care less about Cramer, he has made good and bad statements about psec in the past depending on the circumstances. I just posted his comments becaues he can effect the pps short term. It is called sharing info, and that is what a board like this is for. As for my posts on trading, I am not boasting, I am educating and I started doing it about a year ago on this board after being on the board for a year. I saw a better cway to profit with psec rather than buying and holding.......Look at the chart and volitility, you fool.........
BDC BUZZ is not a shorty and neither am I. I never go short in a cyclical bull market. I posted his latest thoughts because it came directly by e mail and most people will have to wait for the newsletter and seeking alpha post.