Yes, another huge beat and a decent increase in book value:

http://www.nymtrust.com/releasedetail.cfm?ReleaseID=898120

People keep missing the dual strategy of $NYMT as they focus strictly on net interest income and forget the other half. As a bonus, $NYMT generates much more favorable tax treatment for those of us holding in taxable accounts as compared to other mREITs.

$NYMT tax treatment for 2014

http://www.nymtrust.com/releasedetail.cfm?ReleaseID=893122

$NYMT just announced very favorable tax treatment of 2014 dividends (for those of us holding the stock in taxable accounts).

I have not seen $NRZ announce the same for 2014 yet (they released the information on February 1st last year). I expect similar treatment from $NRZ for 2014 as they had in 2013. This further increases the attractiveness of $NYMT relative to $NRZ for me.

Since I started tracking the horse race on 2014-09-05, $NRZ leads $NYMT in pre-tax returns by 1.63%.

Tax treatment for 2014

http://www.nymtrust.com/releasedetail.cfm?ReleaseID=893122

This is good news for those of us holding $NYMT in taxable accounts.

NRZ

All REIT managers want a higher float since they base their fees on assets under management. Typically, they are nice enough to to schedule offerings when stock price exceeds book value. $NRZ has traded above book value for a while. That's why I am expecting something of the sort for $NRZ.

Typically, offerings provide excellent market entry points into these REITs.

NRZ

Congrats! $NRZ is one of the few mREITs to raise dividend this quarter. Especially with half the competition in the sector imploding, I appreciate a company which can navigate current volatility.

Looks like $NRZ will edge out $NYMT in total performance by a few percentage points by the end of the year (since 2014-09-05).

$NYMT recently completed a wildly successful offering. Itg brought in new funds much above book value and diluted mandated distributions. $NYMT thus kept the dividend the same. I felt it was a wise and timely move.

I'll continue to track both. I am glad to see $NRZ break out of the rut from previous months, and I am definitely warming up to it.

What's your feeling on whether and when $NRZ may offer more shares? I don't think they had an offering since being spun off. Did they?

Even though the markets seem (negatively) surprised by this latest number, I agree that it is mostly a headline.

Here's a supporting perspective: http://www.themoneyillusion.com/?p=28030

TL;DR: Japan's demographics trigger the classic definition of recession when fundamentals tell the opposite story (e.g., unemployment).

NRZ

Yes, $NRZ definitely delivered a strong quarter. I do find their book value numbers more compelling than those for $NYMT (as the latter still trades at a huge premium). Including management's Q4 projections, $NRZ may be trading near par to current book value.

It's interesting that both benefited from one time sales this quarter...

NYMT

Well, $NYMT just reported a stellar quarter, albeit helped by a large one-time transaction. Income flowed almost equally from interest income as well as gains from trading of mortgage securities (the long-standing two-pronged strategy at $NYMT).

I am looking forward to the conference call tomorrow and a chance to dig into the 10-Q. I definitely want to hear more about the tempting opportunities for the newly freed cash they emphasized in the release.

Generally, I like the steady dividend income, but I appreciate the consistent growth in book value even more.

http://www.nymtrust.com/releasedetail.cfm?ReleaseID=880370

$NYMT and $NRZ have been neck-and-neck since we first discussed them here. I am eager to hear $NRZ results later this week.

NYMT

Yes, that was indeed a question asked during the Q2 conference call (take a look at the transcript for details). Management appears very confident on dividend sustainability, and I think their 2013-2014 record lends support here. Price action in $NYMT since Q2 earnings does the same...

Well, I think we have an interesting horse race here :)

NRZ

$NYMT is my current favorite REIT play, so I decided to compare $NRZ and $NYMT.

- Off the top, they pay roughly the same yield, but $NYMT is up 13.44% in 2014 while $NRZ is down 5.69%. If nothing drastically changes in the interest rate environment or the housing situation for the next six months, what factors would make $NRZ do better?

- Q2 has been great for pretty much all such mREITs as the lower rates increased their unrealized gains and book values. I don't see how $NRZ stands out from the rest of the pack here (compare to $NYMT or $WMC or $MTGE).

- $NYMT fared extremely well during rising rates of 2013, unlike the rest of the pack. $NRZ got spun off in the middle of 2013, and seems to have done well since (without the wild fluctuations of the rest of the mREITs during that period). $NCT, the spinner company also seems to have done well during that time. So, I'd give $NYMT and $NRZ/$NCT a tie here.

I still have a poor appreciation for hedging strategies at $NRZ. These seem to differentiate poor mREIT performers from the better ones, and $NRZ just does not seem to have enough history to demonstrate savvy here.

SSK, you mentioned that you expect $NRZ to do well when rates rise. Do you feel their hedges will more than offset asset decay? Do you see other factors at play? I'd also appreciate your take on $NYMT and potentially $MTGE as counterpoints to investing in $NRZ.

Thanks!

I guess I bunch of uncertainties got out of the way in the past several days. They killed the US IPO and raised the funds directly by issuing more ASX shares at CAD 0.95. They also purchased more Eagle Ford land.

Lastly, they just got added to the S&P ASX 200 index (which is likely the real driver today).

Anyone still looking at $CPSS?

It's pulled back nicely in the last month...

Looks like Sundance is holding up well today in Australia (trading around A$1.00)...

At one $SNDE ADR share per 20 $SEA/$SDCJF shares, the latter have been clinging _above_ the proposed IPO pricing range. Current $SDCJF price indicates a $17 IPO, if it happens. That's the proposed midpoint...

Looks like someone really wanted out before $SEA.ax re-opens for trading in Australia?

Sundance scuttled their US IPO last week, and Australian shares have been held for a few trading days now.

http://www.renaissancecapital.com/ipohome/news/sundance-energy-australia-postpones-ipo-17963.html

http://www.theaustralian.com.au/business/latest/sundance-energy-in-trading-halt/story-e6frg90f-1226833548645

I am puzzled by action in $FTLF today (and the past few days) considering the news and price movement in $GNC. I'd expect foot traffic to also impact $FTLF sales...

I do expect dilution. However, I do agree with you that Wade and Company will do their best to inflate the price before the listing via PR and by waiting for some of the other positive catalysts on your list to materialize. Surely, they want the most bang for the new shares, and here their interests coincide with those of current investors. However, when they do issue new shares, they will do so at some discount to currently traded shares. Otherwise, why would anyone buy new shares as opposed to shares on other exchanges?

Lastly, I do see some opportunity for arbitrage due to exchange frictions inherent to $MAUXF and $MMT.v. In the long run, I fully agree with you (and your reasons listed) that London-listed shares will be seen as "premium" shares.

As an example, consider what happened to Sundance shares once final plans for $SNDE materialized. If it weren't for the takeover speculation, $SEA.ax and $SDCJF would still be depressed, even though we have known about the US listing for quite some time.

P.S. For me, the London listing carries one powerful message: Wade want more capital to invest and he wants via fairly reputable channels. I see that as a powerful positive, but I also feel that is baked into the share price today.

@stock_peeker, why do you think the London listing will be a positive? Or do you think it will be a catalyst in a sense of a generic price-affecting event?

I expect dilution, and therefore a negative near-term outcome. As I understood from various statements Wade made, they look to London as a way to raise additional capital.

On the other hand, the TSX uplisting may be a moderately positive event.

Thanks!

Corrected...

Thanks for keeping this index going!

I've added a daily snapshot history chart to my public spreadsheet:
https://docs.google.com/a/ayradyss.org/spreadsheet/ccc?key=0Aklqr9wbqTRLdFJSbGpiRURRa0tuZ1lBTFIzbDZIbnc#gid=33


Main SwingTrade Index view:
https://docs.google.com/a/ayradyss.org/spreadsheet/ccc?key=0Aklqr9wbqTRLdFJSbGpiRURRa0tuZ1lBTFIzbDZIbnc#gid=17


2014 view:
https://docs.google.com/a/ayradyss.org/spreadsheet/ccc?key=0Aklqr9wbqTRLdFJSbGpiRURRa0tuZ1lBTFIzbDZIbnc#gid=31

All transactions uncollapsed:
https://docs.google.com/a/ayradyss.org/spreadsheet/ccc?key=0Aklqr9wbqTRLdFJSbGpiRURRa0tuZ1lBTFIzbDZIbnc#gid=25


Cheers!

P.S. You may see some small rounding artifacts due to how GoogleFinance() reports prices and exchange rates.

Thanks for keeping this index going!

I've added a daily snapshot history chart to my public spreadsheet:
https://docs.google.com/a/ayradyss.org/spreadsheet/ccc?key=0Aklqr9wbqTRLdFJSbGpiRURRa0tuZ1lBTFIzbDZIbnc#gid=33


Main SSKMP Managed Index view:
https://docs.google.com/a/ayradyss.org/spreadsheet/ccc?key=0Aklqr9wbqTRLdFJSbGpiRURRa0tuZ1lBTFIzbDZIbnc#gid=15


2014 view:
https://docs.google.com/a/ayradyss.org/spreadsheet/ccc?key=0Aklqr9wbqTRLdFJSbGpiRURRa0tuZ1lBTFIzbDZIbnc#gid=30

All transactions uncollapsed:
https://docs.google.com/a/ayradyss.org/spreadsheet/ccc?key=0Aklqr9wbqTRLdFJSbGpiRURRa0tuZ1lBTFIzbDZIbnc#gid=24


Cheers!

P.S. You may see some small rounding artifacts due to how GoogleFinance() reports prices and exchange rates.

We missed you, martguy!

Cheers

Here's a nice pep talk by Wade. Whether you decide to drink the Kool-Aid is up to you :)

Here's a nice pep talk by Wade. Whether you decide to drink the Kool-Aid is up to you :)

I am traveling and just noticed that SNFCA plunged on Friday. Did earnings come out? I can't readily find them...

Thanks...

Great call on this trade today. I am shaking my head as it was not the reaction to the Fed news I expected...

Nelson,

Did you catch the earnings release and price action for $INBK today? Now, $INBK ran up into the report, so $SNFCA may very well have the slow-down priced in...

Yeah, I don't know...

I still see a steady stream of insider sales (even in the $5 range), so I am spooked. I would not be surprised if we dip under $5 before earnings.

Do you know when they plan to announce earnings? I can't seem to find anything on that... I am estimating mid-November -- does that sound about right?

Nelson -- thanks.

Yes, I've also been eyeing the stock for the past few weeks as a trading opportunity. However, I have actually grown less optimistic over that time. I am not seeing much happiness from the lending sector lately.

Aside from the current price, do you see any operational drivers to boost optimism on SNFCA?

Yes, on the exchange rates at trade times. E*Trade does a great job tracking and reporting it. E*Trade also does not up-charge the commission. I stopped using Ameritrade because they did.

Again, the only issue is apparent liquidity, especially with larger lots.

Researcher59,

Yes, on the currency adjustment.

Issue: I seem to be able to fill limit orders sooner and at narrowed spreads when dealing with MMT.v. I don't even try to go for large lots via MAUXF.

Well, that may be the case logically, but I definitely saw liquidity issues comparing MMT.v and MAUXF.

I found it much easier to buy and sell larger lots of MMT.v as compared to MAUXF. Of course, that may all be subjective or due entirely to my broker (E*Trade). Nonetheless, I prefer dealing with MMT.v directly.

SNFCA

Is anyone still holding or considering SNFCA? Seems that a formerly active conversation on this stock ended abruptly.

I'd appreciate any sentiment you care to share...

Just ran across this Tweet:

https://twitter.com/youseftv/status/382077964768145408

"#Egypt planning agreement to repay $6+ billion owed to international energy companies for #oil and gas; 1st batch by year-end (via @WSJ)"

Interesting news update from Reuters which may affect $TGL/$TGA.

http://www.reuters.com/article/2013/09/15/us-egypt-oil-idUSBRE98E0E020130915

rocketerr357: that makes sense. China also reported better economic strength during the same period.

Thanks for the insight.

Australian elections: Abbott

I wonder to what extent the recent Australian election will continue to reverse the recent slide in the AUD relative to the USD.

The AUD has backed off its low against the USD (at about the same time as Abbott's election appeared more and more certain) but it is still well below where it was six months ago.

In any case, I see the election results as a positive for our ASX listed companies...


http://www.nationalreview.com/agenda/357958/understanding-tony-abbott-reihan-salam

Thanks for the feedback.

I had some money in Ithaca about 18 months ago. I lost patience with it in light of the more interesting action in Mart, Sundance, TGA, and a few others back then.

I have some CAD collecting dust and would rather invest them than convert them back to USD. That's why Pinecrest got my attention..

But given recent declines in Mart, and I tempted to just plow more into it. Mart seems to have a risky but huge upside ahead...

Any further thoughts on Pinecrest, Gents?

I have not done any of my own research yet. I simply noticed that it is down about 20% since the original discussion...

Yes, it was...

https://www.google.com/finance?chdnp=1&chdd=1&chds=1&chdv=1&chvs=maximized&chdeh=1&chfdeh=0&chdet=1373334981561&chddm=1173.0000000000002&chls=IntervalBasedLine&q=CVE:MMT&ntsp=1&ei=xG3bUYjEIM6xqAGHzgE