I'm still down 11% on CPLP, but the stock I bought at $5.95 will pay 16% dividend at the price I paid. If I'd had a bit more courage, I would have bought three times as much, and with today's huge bounce, would have been profitable already on the overall position, with an average dividend payout for the whole position around 14%.
This position was by no means perfectly managed. I missed the bottom of the bounce by a whopping 15%, but things were so damn scary 5 days ago I just feel grateful that my stomach is no longer turning knots. However, monthly SPY chart still says this bear market is only getting started, so this is still a longer term position designed to accumulate dividends in a sector that the global economy cannot function without.
You could argue that accumulating into a crash is crazy, but I've been trading CPLP almost every dividend cycle for 2 years, so know this stock is extremely cyclic, and bounces back over the next dividend quarter. Supertankers don't dissapear overnight, so when a stock like CPLP dives 40% in a month, you can be fairly confident the market is incorrectly valuing CPLP and a bounce will occur.
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