PSEC initially dropped from 11.40 to 11.04 on the S&P dumping on Feb 28. It was stabilizing and then the Russell news came out dropping pps to where it is now. Between now and June it could easily go down to 10.40, but that is just a guess. Selling on Russell news has just begun and will intensify as the dump date approaches.
That is a thought, will have to watch the price action and volume carefully. So far psec has just been meadering on fairly normal volume the past couple of days. June is a long way off...........
I just went thru your last 50 posts to see where you are coming from. You contribute nothing to any thread, attack everyone, have no knowledge, and contribute nothing. Go crawl back in your hole.
Float may also refer to the total number of shares available for trading. Float is calculated by subtracting closely-held shares from the total number of outstanding shares. If a fund, etf, etc. is mimicing an index it has to hold its shares, not trade them so they are not part of the float. If they then dump them because the index dumped them they become part of the float and increase it.
Mr Market determines pps based on supply and demand, not wishful thinking, so we shall see. PSEC has already lost .61 cents and is trending lower...............
Definition of 'Float'
Money in the banking system that is briefly counted twice due to delays in processing checks. Float is created when a bank credits a customer’s account as soon as a check is deposited. However, it takes some time for the check to be received from the payer’s bank. Until the check clears from the payer’s bank, the amount of the check appears in the accounts of both the recipient’s and payer’s banks.
Float may also refer to the total number of shares available for trading. Float is calculated by subtracting closely-held shares from the total number of outstanding shares.
That is not the point, the point is that those that do will sell when the indexes dump, and that will greatly increase the float resulting in lower pps, etc.
Do not get me wrong, PSEC at some point will be a buy again, just not right now. If you know anything about technical analysis look at its chart, note the trendline, stocastics, macd, etc.
Institutional ownership of bdc's also includes mutual funds, etf's, etc who make a business/market of mimicing the indexes, when the indexes dump so will they.
In fact, every time I have posted you have called me a slickster, liar, etc. Problem is time has ALWAYS proven me right and you wrong. You are a really smart guy. btw: 104 trades in psec now without a loss...........
We will see, you are the guy who said I was wrong when I posted a warning about the Russel index days before they announced that they were dropping BDCs and you were the guy who was critical of my action when I dumped my psec position at 9.96 the minute the news came out. You are a real smart guy................
That article is to simplistic and a lot of people have not really thought it thru. The institutional ownership in bdc's is large, arround 30% for psec alone. When the indexes and institutions dump the shares the float will dramatically increase causing lower pps due to increased market supply and less demand. Lower pps will make it more costly for BDCs to raise capital thru SPO's and other means. Higher cost of capital will lower earnings causing dividend cuts and even lower pps.
Do not be blinded by the high dividend and greed, this might get ugly before it is all over.
That info is only available quarterly: http://www.nasdaq.com/symbol/psec/institutional-holdings
Unless you have more to say than personal attacks keep it to yourself. Also, a couple of days ago you asked me how my cash position was doing after I disclosed that I sold out PSEC at 10.96 and was back to cash. I am happy to report that that action has saved me $3600 in capital so far.............