grpaway wrote:Would you be kind enough to give your opinion where NTEA stands.
The price has moved up recently after a long period in the doldrums. Dunno why, particularly.
Running yield about 4.7% which is nothing special.
From the thread on Mark's site where the various Prefs were analysed for their 'safety' I don't recall NTEA as being 'safe'.
As ChrisN commented, the only safe havens in forced redemption terms, were said to be NWBD and BWRA.
I seem to recall that Buffett at one time had a controlling interest in what was Northern Electric. Anyway, with non-Financial issuers such as NE, it's not the Tier 1 buffers that will crash the gravy train, it's the simple fact that pre-2026 they will see banks and insurers cancelling their expensive debt, and it will become a band wagon.
So, it's one of the shares I shall be unloading next week. I was on the Lloyds ECNs when they sank, and it seems pointless to run the risk when I can get similar running yields from income ITs, without risking that miserable metric of circa 2% 'YTM'.