I don't want to spoil your party but these fees pay the running costs of what is in effect a quasi bank. On that basis, we aren't really paying that much. How many banks do you know that have such low costs? And add in the extra tax efficiency and actually we don't get such a bad deal.
My dear friend, you are something of a prophet of doom. Last quarter you wrote that you thought First Tower was in trouble whereas in actual fact operating results there improved. Add back the ten and a half cents and basically last quarter they earnt the dividend or near as damn it.
I have no idea why you are so negative about PSEC.
My dear foolish friend, your comments are noted. The write off last quarter directly impacted profits and book value and also reduced NII because obviously the loan interest wasn't being paid. There are a number of figures which one may refer to but you do not have a monopoly on how to correctly interpret PSEC's figures.
You are talking total nonsense my friend. If they wrote off a loan that directly reduces their profits and thus cash available to pay out as dividends.
Folks, here is the very simple answer re how sustainable the dividend is:
If they hadn't written off the New Century loan last quarter they would have covered the dividend.
If they don't write off any more big loans next quarter they will probably cover the dividend.
It is that simple.
Schwab won't even when asked. Apparently it is too much paperwork. I want to find a broker who does.
Hi, I have an account an Schwab and they refused to disclose my residence status to BNY Mellon. Have you talked to Fidelity about it? Will they disclose? If so I will hold my ADRs with them.
I have already posted a reply to the first tower issue! read my post and the quote from the 10k!
In the article yesterday, they raise concerns re the performance of First Tower.
But actually from the 10k published yesterday (p74):
Due to improved operating results, the Board of Directors increased the fair value of our investment in First Tower to $326,785 as of June 30,
2014, a premium of $7,134 from its amortized cost, compared to the $9,869 unrealized depreciation recorded at June 30, 2013.
You are forgetting the New Century BK. I can't believe that they will make $0.32 EPS. I may be wrong but where will all the other income be coming from? And the new accounting rules don't start until this new quarter so forget about that stuff. I am long PSEC but I don't feel good about today's earnings.
you need to instruct your broker to inform BNY Mellon of your residence status and then you will get the 15% rate.
as sure as night follows day the ATM programme will be back. If you are not sure then please kindly study the economics of BDCs.
It is impossible that they covered the dividend this Q because of the New Century loan right off.
They have commented numerous times on the situation already. Have you not seen the press releases.