No. of Recommendations: 3
I am pleased with TMA selling the mortgage securities and issuing preferred, even though it is dilutive to my equity position. It must have been a very difficult decision to sell a AAA portfolio at a substantial loss when the probability is that in several months it will be worth more than what it is worth now because I believe that the lemmings will begin to understand that it is money good. Raising capital with the preferred will help with TMA liquidity and getting back into a market that is now mispriced in favor of the issuer. Both of these moves seem to me to be evidence of a sophisticated, competent and adept management. When s**t happens many managements hide their heads in the sand and wring their hands. TMA management has been proactive and decided to move forward. They have taken decisive action. Only time will tell if they are right or wrong, however I am even happier to have my long position of 5,000 shares at an average cost of $14.98 than I was ten days ago.
Print the post  


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.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! 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.