YH: Trade Summary | October 2018

Highest Conviction Ideas:

  1. Principal Real Estate Income (PGZ)

  2. Ares Dynamic Credit Allocation (ARDC)

  3. Blackrock Limited Duration (BLW)

  4. THL Credit Senior Loan (TSLF)

  5. Ivy High Income (IVH)

  6. Blackstone/GSO L/S Credit (BGX)

Muni:

  1. Pioneer Municipal High Income (MHI)

Sells:

  1. First Trust Pref & Inc (FPF)

  2. PIMCO Muni Income II (PML) - mini core

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Core Trade Summary:

  1. Increased BLW from 6% to 7%

  2. Increased TSLF from 4% to 7%

  3. Swapped BGB for BGX and increased weighting to 6%

  4. Increased KIO to 6% (target though buy rating flag hasn't been tripped)

  5. Sold FPF out of the portfolio for the tax loss

  6. Added ARDC at 3%

Watching for signals:

  • Adding to KIO at 8%+ discount

  • Reducing WEA at 5% discount

Mini Core:

  1. Sold FPF for the tax loss

  2. Added ARDC at 8%

  3. Increased TSLF to 8%

  4. Swapped BGB for BGX and increased weighting to 7%

  5. Increased MHI to 7%

  6. Sold WEA

  7. Sold PML