UnThreaded | Threaded | Whole Thread (2) | Ignore Thread Prev | Next
Author: joelcorley Big gold star, 5000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 35363  
Subject: Re: DTE-A Date: 1/28/2012 8:18 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 3
gsgreen,

You wrote, OK, so I used to hold a lot of DTE-A as a core holding in my income portfolio. It was called in December.
Anyone have suggestions as to a good replacement?


What's you're criteria? What do you consider to be comparable?

A 7.8% (or better) coupon? Investment grade or junk? Bonds, preferreds, ETFs or CEFs? Energy sector? Or would other sectors suffice? Were you holding this in an account with specialized tax treatment?

Most of my fixed income investments are also preferreds; but I'm fairly heavily weighted with bank and insurance issues, which most would probably consider very risky. I do hold some other less risky issues; but not in great quantity.

It's too bad you didn't roll the funds over immediately. Preferreds took quite a dive in 3Q11. As an example, if you'd bought PFF (a preferred stock ETF), you would have realized about a 7.5% return in only 30 days. Now preferreds seem to have settled back into their normal range, which means PFF is only paying about 7%...

BTW, I hold some shares of PFF; but I don't particularly like it. It holds issues I wouldn't normally touch like GM, Ally, Aegon, Zion's and a few other issuers I just have too little faith in to consider. But PFF also gives me a broad sampling of preferred stocks, which I believe provides some measure of safety as well.

If you're looking at individual bond issues, I have to say I've only bought a few and I've not been looking at them for a while. But I'm sure that if you want to go that path, if you supply some specifics someone here might have some suggestions.

- Joel
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (2) | Ignore Thread Prev | Next

Announcements

Post of the Day:
Value Hounds

Nu Skin Showing its Age?
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement