How's this working out for you?

TJ
 

applejedi1:

Thornburg Mortgage (TMA) never touched a sub-prime loan. In fact, they haven't done much other than jumbo and super-jumbo mortgages, the USDA prime of the lending biz.

They have suspended their dividend, but I think they will move forward and upward from here... I’m getting a bit more.

From a beaten down $10.00 per share at the time of  "I think they will move forward and upward from here... I’m getting a bit more."... to a severely beaten down and lifeless $1.65 today.

I guess it proves even a Value Investing "Genius" can miss 'em by a mile.

This may shock a few of you, but I still own Thornburg in spite of the fiscal rape that was conducted upon it.  The back-door that lead to this attack was their reverse mortgage business, which, in any other circumstance probably would not have caused them any problems. The pay-out, pay-back though requires a lot of capital out to third parties getting paid. When they call in the loans, it can cause a run on the bank.

Thornburg is down. It may be out in the long run, but, knowing the quality of the people who work there, and the high quality of the debt that they generally build, if they survive, they will become a much stronger firm, without the likelihood of dabbling in the instrument fad of the moment.

The stock is a reminder of one of my axioms though: Never put too much into any one stock. There are unforseen circumstances, including attacks by the shorters, or effects on other financial companies that cascade into healthy companies like Thornburg like an avalanche hitting a house three miles down the mountain.

Relatively, if I pick three or four outstanding financial companies, or companies in any sector, the majority of them will outpeform the market. At the end of the 3-5 year run, if I have one loser and four in double or triple-digit gains, the returns still justify my trust in the company's abilities, even if circumstances have undercut my original purchase factors.

It's never fun to have one of your picks bushwhacked. In this kind of market though, get used to it. The shorters, in the form of these bleeding hedge funds, will be looking for piggy banks to crack.

Go to the bank that Thornburg isn't the last healthy balance sheet that they raid. 

This may shock a few of you, but I still own Thornburg in spite of the fiscal rape that was conducted upon it.  The back-door that lead to this attack was their reverse mortgage business, which, in any other circumstance probably would not have caused them any problems. The pay-out, pay-back though requires a lot of capital out to third parties getting paid. When they call in the loans, it can cause a run on the bank.

Thornburg is down. It may be out in the long run, but, knowing the quality of the people who work there, and the high quality of the debt that they generally build, if they survive, they will become a much stronger firm, without the likelihood of dabbling in the instrument fad of the moment.

The stock is a reminder of one of my axioms though: Never put too much into any one stock. There are unforseen circumstances, including attacks by the shorters, or effects on other financial companies that cascade into healthy companies like Thornburg like an avalanche hitting a house three miles down the mountain.

Relatively, if I pick three or four outstanding financial companies, or companies in any sector, the majority of them will outpeform the market. At the end of the 3-5 year run, if I have one loser and four in double or triple-digit gains, the returns still justify my trust in the company's abilities, even if circumstances have undercut my original purchase factors.

It's never fun to have one of your picks bushwhacked. In this kind of market though, get used to it. The shorters, in the form of these bleeding hedge funds, will be looking for piggy banks to crack.

Go to the bank that Thornburg isn't the last healthy balance sheet that they raid. 

This may shock a few of you, but I still own Thornburg in spite of the fiscal rape that was conducted upon it.  The back-door that lead to this attack was their reverse mortgage business, which, in any other circumstance probably would not have caused them any problems. The pay-out, pay-back though requires a lot of capital out to third parties getting paid. When they call in the loans, it can cause a run on the bank.

Thornburg is down. It may be out in the long run, but, knowing the quality of the people who work there, and the high quality of the debt that they generally build, if they survive, they will become a much stronger firm, without the likelihood of dabbling in the instrument fad of the moment.  I'm holding on to it, and seeing where it will go.  I have very very few losers, and, if they can work with their creditors as they have done, they should be able to recover if the market doesn't rumble down further.  As long as 12000 seems to be the crisis floor, I'm watching and waiting to see what Thornburg's people can do to recover.

The stock is a reminder of one of my axioms though: Never put too much into any one stock. There are unforseen circumstances, including attacks by the shorters, or effects on other financial companies that cascade into healthy companies like Thornburg like an avalanche hitting a house three miles down the mountain.

Relatively, if I pick three or four outstanding financial companies, or companies in any sector, the majority of them will outpeform the market. At the end of the 3-5 year run, if I have one loser and four in double or triple-digit gains, the returns still justify my trust in the company's abilities, even if circumstances have undercut my original purchase factors.

It's never fun to have one of your picks bushwhacked. In this kind of market though, get used to it. The shorters, in the form of these bleeding hedge funds, will be looking for piggy banks to crack.

Go to the bank that Thornburg isn't the last healthy balance sheet that they raid. 

This may shock a few of you, but I still own Thornburg in spite of the fiscal rape that was conducted upon it. The back-door that lead to this attack was their reverse mortgage business, which, in any other circumstance probably would not have caused them any problems. The pay-out, pay-back though requires a lot of capital out to third parties getting paid. When they call in the loans, it can cause a run on the bank. Thornburg is down. It may be out in the long run, but, knowing the quality of the people who work there, and the high quality of the debt that they generally build, if they survive, they will become a much stronger firm, without the likelihood of dabbling in the instrument fad of the moment. I'm holding on to it, and seeing where it will go. I have very very few losers, and, if they can work with their creditors as they have done, they should be able to recover if the market doesn't rumble down further. As long as 12000 seems to be the crisis floor, I'm watching and waiting to see what Thornburg's people can do to recover. The stock is a reminder of one of my axioms though: Never put too much into any one stock. There are unforseen circumstances, including attacks by the shorters, or effects on other financial companies that cascade into healthy companies like Thornburg like an avalanche hitting a house three miles down the mountain. Relatively, if I pick three or four outstanding financial companies, or companies in any sector, the majority of them will outpeform the market. At the end of the 3-5 year run, if I have one loser and four in double or triple-digit gains, the returns still justify my trust in the company's abilities, even if circumstances have undercut my original purchase factors. It's never fun to have one of your picks bushwhacked. In this kind of market though, get used to it. The shorters, in the form of these bleeding hedge funds, will be looking for piggy banks to crack. Go to the bank that Thornburg isn't the last healthy balance sheet that they raid.