Book Review: How to Make Money in Junk Bonds

I recently read "How to Make Money in Junk Bonds" a great little book that covers the basics of this asset class. It has a definite value bent, more from the "quality business" side than the "cigar butt" side of the table. The review is here:

Oceanstone Fund Update

I've published a portfolio update on the Oceanstone fund due to a request from a commenter. It can be found here:

http://seekingalpha.com/article/1930141-Oceanstone-New-Picks-From-A-Reclusive-Master

Petrobank Resources (TSX:PBG) $0.34

Petrobank Resources is a net-net. The company has a current market capitalization of $33 million, against $68.5 million in current assets and $20.5 million in total liabilities. That means the company is trading at 68% of its net current asset value. The company has invested a great deal of capital in its proprietary THAI process for recovering heavy oil, which has resulted in consistent negative cashflow. The company has committed in its Q3 Update that they would get the THAI project cashflow positive by mid 2014 with minimum capital expenditures, or it would shut the project down. Either outcome would be positive. The company should be able to realize proceeds from its oil lands, which could be produced using other technologies by other companies. These proceeds have the potential to be material, but are difficult to quantify directly.

Disclosure: Long PBG

Disclaimer: I am not a registered investment advisor and do not provide specific investment advice. The information contained herein is for informational purposes only, and none of the information is guaranteed. Nothing in this article should be taken as a solicitation to purchase or sell securities. Before buying or selling any stock you should do your own research and reach your own conclusions. Seek qualified professional advice to make an investment decision. Investing includes risks, including loss of principal. Absolutely no warranty is made for the quality or correctness of the information above, and liability for its use is expressly disclaimed.