HYBRID VIGOR VOL 2 ISSUE 19: Hybrid Vigor Turns 50

Well, not exactly. But today marks the 50th time we have gone to press since we began publishing last July.

We started with the Ugly 20, to which we have recently added a European counterpart. Our timing was fortuitous, as the market hit pretty much its 2014 richness peak when the first issue came out. (One reader who likes to “reverse hedge” told us he was short 12 of the 20 names). The median HARP on the Ugly 20 was 10.2 then versus 9.5 now, though the general trend has been higher of late.

We added the HOCS 20 a few months later in response to readers wanting help finding attractive names in addition to bloated ones. HOCS has been a particularly useful tool in evaluating new issues. Hopefully it will get plenty of workouts measuring new deals in the months ahead.

It’s been a great experience bringing together an exceptional team here at Hillside and producing a letter we hope is worthy of an underappreciated market. We continue to strive to make Hybrid Vigor the voice of convertibles. Between Hybrid Vigor and our intermittent Hillside Alerts (HA’s) we hope to keep bringing worthwhile insights to our readers’ attention.

Here is just a sample of things to come in the weeks and months ahead:

•    A more formal presentation of our HOCS 100 Index, which we expect will become a key benchmark for true outright convertible performance

•    More articles featuring HOCS sub-groups for investors with specific interests

•    European HOCS, to go along with the European HARP we now feature

•    Reviews of critical tax and accounting issues involving convertibles

As we mark our 50th issue, we thank our readers and friends for all your support and encouragement.

(This is the cover letter for the subscription-based weekly Hillside's Hybrid Vigor newsletter. For a complete copy, please contact John Anderson at + 1 (646) 712-9289 x 107).