I sold my Cummulus bonds today.

music selection:  “Love Removal Machine” — The Cult

On 10FEB2016 I purchased two Cumulus Radio (CMLS) bonds for 33.15 cents on the dollar.  I paid seven dollars in commissions and 45.21 in accrued interest for a total cash outlay of 715.21.  A limit order cleared today at 50 cents on the dollar.  I paid 4.75 in commissions and collected 6.46 in accrued interest.  I also collected 155 dollars in coupon payments during the holding period.

The trade was in force for 274 days and yielded 82.23% on an annualized basis.  My total gains in discounted bonds since inception has been $8,431.  I’m doing quite well here and hope to buy more discounted bonds in the future.  I think there could be a rollover of the debt markets soon as defaults are slowly rising.  I am keeping my eyes open for bargains.

Devour your prey raptors!

Update Discounted Bonds

Never miss another opportunity to devour prey!

2 thoughts on “Update Discounted Bonds

  • November 17, 2016 at 6:44 pm

    I’m also exploring the strange world of discounted junk bonds – though not at the levels of discount/risk you are working with.

    TD Ameritrade is infuriating me (slowness, lack of info, no watch list, etc). What brokerage do you use, and do you like it?


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