A Couple New Issues Trading

There are 2 new preferred issues trading today—1 started trading on Friday and the other should be trading this morning.

For those that receive our emails you are already aware of these new issues.

Costamare (a large container ship owner) sold a 8.75% cumulative perpetual issue last week and it began trading on Friday and this morning is trading at around $24.79.  Details of the issue are here.  Costamare is one of the better Greek shipping companies so those looking for high yield have a potential opportunity here.  It is perpetual which we have no interest in at this time.

BDC Gladstone Investment (ticker:GAIN) has sold a TERM preferred issue.  The issue has a 6.50% coupon and has a mandatory redemption date in 2022. This issue has some potential depending on where it trades. While we are not thrilled with Gladstone Investment as a BDC they do have the 200% asset coverage ration requirement which adds some level of safety to the issue.  Plus with the 2022 mandatory redemption date volatility of the issue will be reduced.  Details of the issue are here.