NLY is playing a very very very risky game and its not a good one...they switched to short term debt from long term due to interest savings as they are likely floating debt to pay that dividend....you better hope that rates dont go up much because then the company will have to refinance BILLIONS in debt at much higher rates and then the divi gets demolished.
NLY is playing a very very very risky game and its not a good one...they switched to short term debt from long term due to interest savings as they are likely floating debt to pay that dividend....you better hope that rates dont go up much because then the company will have to refinance BILLIONS in debt at much higher rates and then the divi gets demolished.
Years ago I owned WIN (Windstream) whom at one point was paying a 12% or more dividend. I would collect the dividend and the price of the stock would drop. It was like clockwork. After a year or two, I got out and scooped a minor profit that was no where close to the risk I was taking owning the stock. Today the company is almost worthless compared to the valuation when I owned it.
The fact is, if a company is financing dividends with anything other than profits, it's going to end poorly. Chasing dividends at this level is a risky business. Not recommended!
Years ago I owned WIN (Windstream) whom at one point was paying a 12% or more dividend. I would collect the dividend and the price of the stock would drop. It was like clockwork. After a year or two, I got out and scooped a minor profit that was no where close to the risk I was taking owning the stock. Today the company is almost worthless compared to the valuation when I owned it.
The fact is, if a company is financing dividends with anything other than profits, it's going to end poorly. Chasing dividends at this level is a risky business. Not recommended!
Go to yahoo finance and pull up their balance sheet, then look at when they shifted from long term to short term debt...its a gimmick and a game and it wont end well IMO.
What is that lame Trump at the helm comment? You have to be kidding right? The guy submarined two public companies he is an awful example of a CEO for a public company.
Go to yahoo finance and pull up their balance sheet, then look at when they shifted from long term to short term debt...its a gimmick and a game and it wont end well IMO.
What is that lame Trump at the helm comment? You have to be kidding right? The guy submarined two public companies he is an awful example of a CEO for a public company.
I don't believe there is any argument against Trump's politics being "pro" markets overall. Even his unorthodox methods of negotiating trade agreements under the threat of tariffs seem to be working.
Also, keep in mind that Trump inherited the presidency at a virtual near zero interest rate environment. Please tell me any period of economic history where the markets have performed this well during a telegraphed tightening of credit environment. (hint....there isn't one). It would appear that Trump is pushing all of the right buttons in the face of rising rates.
Surely Trump deserves some credit. Regardless of what you might think of his business bankruptcy strategies, he must be given credit for what he has accomplished thus far.
I don't believe there is any argument against Trump's politics being "pro" markets overall. Even his unorthodox methods of negotiating trade agreements under the threat of tariffs seem to be working.
Also, keep in mind that Trump inherited the presidency at a virtual near zero interest rate environment. Please tell me any period of economic history where the markets have performed this well during a telegraphed tightening of credit environment. (hint....there isn't one). It would appear that Trump is pushing all of the right buttons in the face of rising rates.
Surely Trump deserves some credit. Regardless of what you might think of his business bankruptcy strategies, he must be given credit for what he has accomplished thus far.
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