Brompton Lifeco Split Corp T.LCS

LCS unit nav to OCT 20 = approx: $14.87

[mouserman]

So lost about 37 cents in one day!! gotta be close to a record for LCS...
WIll see if  Brompton still will be paying LCS commons  when they make their announcements next week.

[Experienced]

Glad I got out a couple of weeks ago with a small profit.  Even though it went a bit higher after I sold, I have been very nervous about the market and the fact that LCS is in danger of not paying out this month gives me some solace.. Normally I would have been tempted to buy something today with the market down but my spidey sense is telling me that Israel will invade this weekend and I

[mouserman]

I also exitted my positions in LCS, not that i dont believe those companies will do better than banks in the higher for longer interest rate environment, but financials in general are in for a tough go  in this economic environment. The world is not the same place as it was prepandemic, and it hasnt changed for the better. Inverted treasury yields have been a sure sign of recession and if

[Experienced]

I recommend that you at the CBO forecast if you haven't already.  It's base case which goes out 10 years and is based on current US Government financial committments has 2 trillion+ deficits each year and the US Federal Debt rising by 60 % over the next 10 years.  Pretty scary stuff!! The actual  numbers will be higher cause they will find new things to spend money on and

[Experienced]

We will see of course but they typically announce dividends around the 22nd of the month so I am expecting an annoucement on Monday.  Given that the NAV was under 15 on Friday, thinking they will be skipping the dividend this month. If that is what they in fact do then I am happy I decided to sit out for now and there will be lots of time to decide on whether to get back in before the next

[Experienced]

We will see of course but they typically announce dividends around the 22nd of the month so I am expecting an annoucement on Monday. @Given that the NAV was under 15 on Friday, thinking they will be skipping the dividend this month. If that is what they in fact do then I am happy I decided to sit out for now and there will be lots of time to decide on whether to get back in before the next month

[Experienced]

Given that the futures are down for the opening this morning, it would seem to be that a dividend for this month would be a low probability.  We will see what they decide to do.

[Experienced]

Looks like a bit of a market reversal going on over the past hour or so which an encouraging sign. Decided to buy an underweight position at various prices averaging in the low 4.90s (seemed like the market makers were reacting to my limit bids).  Fingers crossed as to whether this will be the start of another roundtrip or not....lol

[mouserman]

If there is one sector of the financials  that i like in this current high interest rate setting, it is the lifecos... CAN LCS maintain the level for paying to commons in a severe bear market? I dont think so. Once margins calls happen and tax loss selling picks up steam even the best get sold.

[EdPaquette]

This will be the first split to rebound when the selling stops.

[Experienced]

mouserman - agreed As mentioned here and elsewhere, I am predicitng a recession.  My latest base case is for this to happen in 1Q 2024 or early 2Q 2024. For this reason, my asset allocation is very much weighted to cash, fixed income and preferred shares and underweighted equities. Any new positions such as the one I took and have taken in LCS are designed as both short term and

[NoShoesNoShirt]

Experienced....agreed. now the market is looking past the recession.  https://markets.businessinsider.com/news/stocks/vix-stock-market-volatility-indicator-sp500-bottom-cboe-recession-bulls-2023-10

[Experienced]

NoShoes....good point - hard to assess right now... The overall market sentiment right now is in the Fear category and on the verge of going to Extreme Fear.  Typically, when the sentiment indicator is in this range, it is often a good time to add to stock positions even if it might take a while for things to go up.  This consideration was part of my decision to take a smallish position