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No. of Recommendations: 1
you would be surprised in the high yield or more junky arena of corps, how many of these companies are breaking even or come in at a negative EPS when all is said and done.

initially i took a small position in this company because low & behold, they actually are making money and provide a quantifiable unique service which there is demand for!

but the price action has not been good very recently, in the last 7 trading days. with this kind of rally in any kind of corp YTD, something might be going on here.

there definitely is one large seller who has been possibly trying to unwind a position as he has been literally sitting on the ask and keeps driving it down to fish out buyers. currently showing >1000 of these for sale.

Global Geohphysical Svcs (senior unsecured classification)
cusip = 37946SAB3
coupon = 10.5%
float = $250MM
redeems = 5/1/2017
trading @ a near 11% discount to par = nearly 14% yield
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No. of Recommendations: 0

I regard GGS as a “story bond” (in the same way that some stocks are “story stocks”). Their financial ratios aren’t compelling. But if the story does play out, acceptable money could be made. I’m long the bond, and I added this morning. But I’m not hopeful, not like I am about Travelport (which tagged 60 this morning ON THE BID, nearly doubling my entry-price).

GGS is merely one of the many positions I have to put on, because I need to buy as widely as possible for never knowing what’s going to work. And this is where position-sizing comes into play. "How much am I willing to lose?" I'll buy that much of nearly anything, which is why I'm carrying 300 plus positions and NEVER make focused bets.

In the short term, "Who makes the best money?" Them that bet big on little, i.e., on just their so-called "best ideas". But over the long haul, "Who survives?" Them that bet widely and small. To bet big is to make fragile bets that --when they do by luck work out-- are immediately claimed to have been the product of skill. That's the "narrative fallacy" we humans are subject to. The past looks obvious. The future is anything but obvious. But buying has to be done. So we make our guesses as best we can. GGS is just a guess.

"It's hard to make good predictions, especially about the future. " (Yogi Berra)
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