[If You Find You Are Unintentionally Banned From This Forum...]

On my iPhone it works fine from WiFi, but I get banned on the ATT (mycingular.net) network. If I do get banned, I have to clear website data to get it to work again on Wifi.

 

If I share my phone's ATT connection with my laptop, then the laptop will be banned.

 

So in my case, it is based on IP address detection.

 

This has happened consistently for about 3 months.

 

 

[Another Indication The Bull Market is Coming to an End!]

Maybe we should start a fund that shorts whatever the "that 70's show" cast is buying.

[Buffett Puts $5B Into Bank of America!]

I just meant that the outlay of capital was significantly lower buying the warrants rather than common equity.  The bank warrants also have the benefit of being adjusted if any dividends are paid out, unlike most other warrants.  We just felt more comfortable buying through the warrants at the time.  We were much more comfortable with WFC and bought the common equity.  Cheers!

 

Ok, makes sense. I just wanted to double check on anything weird with the warrants I may have missed. Thanks.

 

Yes the dividend aspect is a nice bonus with bac.ws.a, especially the .01 minimum compared to the other tarp warrants.

[Buffett Puts $5B Into Bank of America!]

I agree.  We never bought BAC common, because of the risk from legal liability and loan losses.  We invested through the warrants. 

 

Sanjeev - can you explain what you mean here? How would the warrants be less risky than common in the case of large liability/loan losses? Do you just mean that in terms of risk/reward, the warrants passed your criteria while common did not when you started buying?

 

Would love to know if there are any clauses that somehow protect the warrant vs common in case of large losses or dilution. I haven't seen any and highly doubt it, but, um, that would be great to know if so.

 

I actually switched from the "a" warrants to common early this week when the warrants were well above their lows, at around 3.20 and common was tanking around 6.50.  Partly because the math meant only a significant difference in payoff between common vs warrant starting north of $32/share in 2019, and partly because I had less perceived risk with the common in the event of large liability/loan losses, a lost decade or two, or any other wacky things that could keep the share price low for 7.5 years.

 

BTW, thanks for your commentary on BAC recently. Very informative.

[Buffett Puts $5B Into Bank of America!]

Great guess on a potential preferred deal by Parsad from that trainwreck BAC thread a couple days ago:

 

This thing is so irrationally priced that somebody has to walk in and take a huge stake.  It won't be Buffett because of his stake in Wells, but there has to be some large institutions that would just say to themselves, let's strike a $20B preferred deal like Buffett did with Goldman and kill the shorts.  Somebody is going to buy into this thing at this price...just crazy!  Cheers!

 

I'm also very surprised it was Buffet afterall.

 

Parsad - you should also start a fund or something. :)