Core Insights - Valley National Bancorp (VLY) is a regional bank with a focus on highly populated areas across the United States [1] Group 1: Company Overview - Valley National Bancorp operates branches throughout the United States, emphasizing locations in densely populated regions [1] - The bank offers common shares along with three different types of preferred shares [1] Group 2: Investment Focus - The current investment strategy includes income investing through common shares, preferred shares, or bonds [1] - The author aims to publish two articles per week, focusing on income investing and broader economic topics [1]

Bank of Hawaii ( BOH ) is a regional bank with a strong presence in Hawaii and the southwestern United States. Along with offering common shares, the bank offers two preferred shares, which I last covered in May . TheOther writing on Substack: https://yieldstrategies.substack.com/I am currently focused on income investing through either common shares, preferred shares, or bonds. I will occasionally break away and write about the economy at large or a special situation involving a company I've been researchi ...

Group 1 - The article discusses the author's journey into investing, starting in high school in 2011, focusing on REITs, preferred stocks, and high-yield bonds, indicating a long-standing interest in markets and the economy [1] - The author has recently adopted a strategy that combines long stock positions with covered calls and cash secured puts, emphasizing a fundamental long-term investment approach [1] - The author primarily covers REITs and financials on Seeking Alpha, with occasional articles on ETFs and other stocks influenced by macro trade ideas [1]

Core Insights - Concerns over US regional banks' preferred shares have intensified following issues at Zions Bancorp and Western Alliance Bancorp, reminiscent of the selloff after the collapse of Silicon Valley Bank [1][4] Group 1: Market Reaction - Zions Bancorp's preferred shares fell 6.36% to $20.38, marking the largest drop since May 2023 and reaching an 18-month low, while Western Alliance's preferred shares dropped 2.87% to $20.83, the most significant decline since April 2024 [2][4] - Bid prices indicate that the preferred securities are expected to decline further, reflecting investor sentiment [2] Group 2: Broader Context - The recent disclosures from Zions and Western Alliance come amid existing investor anxiety due to the collapse of auto lender Tricolor Holdings and the bankruptcy of auto-parts supplier First Brands Group [3] - JPMorgan Chase's CEO Jamie Dimon has raised concerns about potential issues in credit quality, contributing to a cautious trading environment [3][4] Group 3: Comparison with Larger Banks - Preferred stocks from larger banks, referred to as the Big 6, remained relatively stable, while smaller banks' preferred shares experienced a more significant decline, with those in the retail market losing approximately 0.7% on average [5] Group 4: Historical Context - The 2023 banking crisis was triggered by rising interest rates, which adversely affected the bond portfolios of regional banks, leading to significant asset sales and the eventual collapse of SVB [6]

Core Viewpoint - Metaplanet is shifting towards issuing preferred shares as a strategy to optimize capital and enhance Bitcoin holdings per share without diluting common shareholders [2][3]. Group 1: Company Strategy - The preferred share strategy is part of a capital optimization phase aimed at boosting Bitcoin holdings per share [2]. - The company has suspended several series of stock acquisition rights, indicating a strategic recalibration [2]. - Preferred shares are viewed as a "more powerful tool" than common stock issuance, allowing capital raising at a fixed dividend rate without increasing share count [3]. Group 2: Financial Implications - Gerovich argues that if the rate of increase in Bitcoin exceeds the cost of capital, it acts as compound interest, ultimately benefiting common shareholders [4]. - A formula presented by Gerovich suggests that if Bitcoin compounds at 30% annually and preferred dividends are set at 6%, the long-term outcome would simulate dilution-free growth equivalent to issuing new stock at an mNAV of 8.6x [5]. - Metaplanet is effectively debt-free and maintains one of the healthiest financial bases in Japan [5].

Core Viewpoint - Life & Banc Split Corp. is planning a stock split of its class A shares due to strong performance, with the split expected to take effect on October 27, 2025 [1][4]. Group 1: Stock Split Details - Class A shareholders will receive 10 additional class A shares for every 100 shares held as part of the stock split [1]. - The stock split is subject to approval from the Toronto Stock Exchange [1]. - The stock split is a non-taxable event, and no fractional shares will be issued [4]. Group 2: Shareholder Benefits - Following the stock split, class A shareholders will continue to receive monthly cash distributions targeted at $0.10 per share, leading to an expected increase of approximately 10% in total distributions [2]. - The Fund offers a distribution reinvestment plan for class A shareholders to reinvest distributions without commission [2]. Group 3: Performance Metrics - Over the past 10 years, class A shares have delivered a total return of 20.5% per annum, outperforming the S&P/TSX Capped Financials Total Return Index by 6.8% and the S&P/TSX Composite Total Return Index by 8.7% [3]. - Since inception, class A shareholders have received cash distributions totaling $20.95 per share [3]. Group 4: Fund Composition - The Fund invests equally in common shares of the six largest Canadian banks and four major publicly traded Canadian life insurance companies [5]. - The portfolio includes notable institutions such as the Royal Bank of Canada and Manulife Financial Corporation [5]. Group 5: Risk Mitigation - Preferred shares of the Fund are expected to have downside protection of approximately 52% against declines in the value of the Fund's portfolio [4].

Core Viewpoint - Brompton Split Banc Corp. plans to execute a stock split of its class A shares due to strong performance, with class A shareholders receiving 17 additional shares for every 100 shares held, pending approval from the Toronto Stock Exchange [1][4]. Group 1: Stock Split Details - The stock split will take effect for class A shareholders of record on October 27, 2025, and trading on an ex-split basis will commence on October 28, 2025 [1][4]. - No fractional shares will be issued, and the number of shares received will be rounded down to the nearest whole number [4]. Group 2: Shareholder Benefits - Class A shareholders will continue to receive monthly cash distributions targeted at $0.10 per share, leading to an expected increase of approximately 17% in total distributions [2]. - The Fund offers a distribution reinvestment plan for class A shareholders to reinvest distributions without commission, enhancing compound growth potential [2]. Group 3: Performance Metrics - Over the past 10 years, class A shares have delivered an annual total return of 18.4%, outperforming the S&P/TSX Equal Weight Diversified Banks Total Return Index by 5.1% and the S&P/TSX Composite Total Return Index by 6.6% [3][7]. - Since inception, class A shareholders have received cash distributions totaling $23.45 per share [3]. Group 4: Fund Composition - The Fund invests equally in common shares of the six largest Canadian banks and may allocate up to 10% of its total assets in global financial companies for diversification and return potential [5].

Group 1 - Two Harbors Investment's preferred shares have shown mixed performance compared to the iShares Preferred and Income Securities ETF in 2025 [1] - The Series A shares currently offer a specific yield, although the exact figure is not provided in the text [1] - The investment strategy includes a focus on REITs, preferred stocks, and high-yield bonds, indicating a long-term fundamental approach [1]

Core Viewpoint - PharmaCorp RX Inc. has filed a preliminary short form base shelf prospectus to qualify the distribution of up to $100 million in various securities over a 25-month period, enhancing its ability to access capital markets for growth and acquisitions [2][3]. Company Overview - PharmaCorp is a Canadian pharmacy acquisition and ownership platform focused on empowering pharmacists as equity partners and supporting succession for retiring pharmacy owners [5]. - The company operates four pharmacies under the PharmaChoice Canada banner and aims to acquire more pharmacies, rebranding them under its platform [5]. Financial Strategy - The base shelf prospectus will allow PharmaCorp to issue common shares, preferred shares, warrants, debt securities, subscription receipts, units, or any combination thereof, based on financial requirements and market conditions [2]. - The specific terms of any offerings will be detailed in prospectus supplements filed with Canadian securities regulatory authorities [2]. Corporate Development - The filing of the base shelf prospectus is seen as a milestone in PharmaCorp's corporate development, providing flexibility to access capital markets as acquisition opportunities arise [3]. - The strategic alliance with PharmaChoice Canada is highlighted as a key factor in advancing the company's national growth and operations platform [3].

Core Insights - Granite Point Mortgage Trust (NYSE: GPMT) and Sachem Capital (NYSE: SACH) are currently out of favor with investors, with their public preferred shares trading at discounts to the $25 per share liquidation value [1] Group 1: Company Performance - Both GPMT and SACH are categorized as mortgage REITs, indicating their focus on real estate investment trusts that primarily deal with mortgage financing [1] Group 2: Market Dynamics - The equity market is described as a powerful mechanism where daily price fluctuations can lead to significant long-term wealth creation or destruction [1] - Pacifica Yield is mentioned as a firm that aims for long-term wealth creation by focusing on undervalued yet high-growth companies, high-dividend stocks, REITs, and green energy firms [1]