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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: jhelmers who wrote (25984)	2/12/2007 6:43:54 PM
From: Madharry	Read Replies (1) \| Respond to of 78814

I read the write-ups and am still convinced that I would need a margin of safety here and that margin of safety is a discount to the nav. From what I have read so far and the way mgmt has structured their incentive, i have no doubt about mgmt willingness to throw investors under the bus if need be.

To: jhelmers who wrote (25984)	2/12/2007 8:51:22 PM
From: Paul Senior	Read Replies (1) \| Respond to of 78814

jhelmers: Thanks for the post. Very helpful for PSEC background. I also like your general rules for BDC. They seem apropos to me. I have considered selling a couple of BDC's as their stock prices have risen and thus their dividend yields dropping - to below 8%. I didn't do that, because I figured I'd not get back into the stocks unless the yields rose to 10% which I don't expect to see. (Otoh, there ARE occasional downward spikes where an alert investor can buy getting a 10% yield). These BDC also raise their dividends sometimes, so a ltb&h person can sometimes eventually see dividend yields on purchase price well over 10% (even though at time of purchase the yield is below 10%). Anyway, I'm paying the price for not selling as at least a couple of these stocks are correcting now. ACAS for example, down about $5/sh. in the last few days.