HFRO: 8% Yielding Preferreds Trading At A Discount To NAV
HFRO's investment-grade rated Series A Preferreds are currently trading at a 33% discount to their intrinsic value. The preferreds offer a compelling 8% yield on cost. This yield has been catalyzed by a rally in the long-term US 10-year Treasury yield. HFRO's common shares are trading at a material discount to net asset value, with efforts to reduce the gap ongoing.
Preferreds Weekly Review: HFRO Tees Up Another Preferred
We take a look at the action in preferreds and baby bonds through the first week of December and highlight some of the key themes we are watching. Preferred stocks showed mixed performance, but the sector has achieved a double-digit return year-to-date, outperforming loans and high-yield corporate bonds. Highland Opportunities and Income Fund's tender offer to exchange common shares for preferred shares could present a buying opportunity for preferreds investors below $17.
HFRO: New Preferred Shares Aim To Narrow The Discount
HFRO's attempts to boost share price, including buybacks and a dedicated board committee, have failed. HFRO's new tender offer swaps common shares for preferred shares at a premium. Bold move. Let's see how that works for them.
HFRO: Discount To NAV Widens To 53% For A 7% Yield
Highland Opportunities and Income Fund trades at a 53% discount to NAV. The recent purchase of QuarterNorth by Talos Energy validated at least some marks on the book as accurate. We look at where the rest of the fund stands.
