I have four new income investment ideas for you this month!

These ideas are all B. Riley (RILY) baby bonds with varying maturities and yields.

B. Riley Financial (RILY)

B. Riley Financial, Inc., through its subsidiaries, provides investment banking and financial services to corporate, institutional, and high net worth clients in North America, Australia, and Europe.

The company operates in six segments: Capital Markets, Wealth Management, Auction and Liquidation, Financial Consulting, Principal Investments–Communications, and Brands.

The Capital Markets segments offers investment banking, corporate finance, financial advisory, research, securities lending and sales, and trading services; merger and acquisitions, restructuring advisory, initial and secondary public offerings, and institutional private placements services; asset management services; and trades in equity securities.

The Wealth Management segment provides wealth management and tax services.

The Auction and Liquidation Segment offers retail store liquidation, and wholesale and industrial assets disposition services.

The Financial Consulting segment provides bankruptcy, forensic accounting, litigation support, operations management and real estate consulting, and valuation and appraisal services.

The Principal Investments–Communications segment provides consumer Internet access through United Online under the NetZero and Juno brands; VoIP communication and related products, and subscription services through magicJack; and mobile phone services and devices through Marconi Wireless.

The Brands segments provides licensing of a brand investment portfolio, including Catherine Malandrino, English Laundry, Joan Vass, Kensie Girl, Limited Too, and Nanette Lepore.

It also offers advisory services; brokerage services; senior secured and second lien secured loans to middle market public and the private U.S. companies; and consulting services.

The company was formerly known as Great American Group, Inc. and changed its name to B. Riley Financial, Inc. in November 2014. The company was founded in 1973 and is headquartered in Los Angeles, California.

We aren’t investing in the common shares even though the dividend yield and the growth look good, the payout ratio is no bueno.

The better (and safer) play is the undervalued baby bonds.

As we know, the criteria for a baby bond is that the current ratio of the issuing company must be 1.25 or higher.

B. Riley’s current ratio today is: 1.96.

B. Riley 6.75% Senior Notes Due 5/31/2024 (RILYO)

B. Riley Financial, 6.75% Senior Notes Due 5/31/2024, issued in $25 denominations, redeemable at the issuer’s option on or after 5/31/2021 at $25.50 per note; on or after 5/31/2022 at $25.25 per note; on or after 5/31/2023 at $25.00 per note plus accrued and unpaid interest and maturing 5/31/2024.

Interest distributions of 6.75% per annum ($1.6875 per annum or $0.421875 per quarter) will be paid quarterly on 1/31, 4/30, 7/31 & 10/31 to holders of record on the record date that will be 1/15, 4/15, 7/15 & 10/15 respectively

B. Riley 6.50% Senior Notes Due 9/30/2026 (RILYN)

B. Riley Financial, Inc., 6.50% Senior Notes Due 9/30/2026, issued in $25 denominations, redeemable at the issuer’s option on or after 9/30/2022 at $25.50 per note plus accrued and unpaid interest, and maturing 9/30/2026.

Interest distributions of 6.50% per annum ($1.625 per annum or $0.40625 per quarter) will be paid quarterly on 1/31, 4/30, 7/31 & 10/31 to holders of record on the record date that will be 1/15, 4/15, 7/15 & 10/15 respectively.

6.00% Senior Notes Due 1/31/2028 (RILYT)

B. Riley Financial, Inc., 6.00% Senior Notes Due 2028, issued in $25 denominations, redeemable at the issuer’s option on or after 01/31/2022 but prior to 01/31/2023 at $25.75 (103%), after 01/31/2023 but prior to 01/31/2024 at $25.50 (102%), after 01/31/2024 but prior to 01/31/2025 at $25.25 (101%) , after 01/31/2025 at $25.00 (100%) plus accrued and unpaid interest and maturing 01/31/2028.

Interest distributions of 6.00% per annum ($1.50 per annum or $0.375 per quarter) will be paid quarterly on 1/31, 4/30, 7/31 & 10/31 to holders of record on the record date that will be 1/15, 4/15, 7/15 & 10/15 respectively.

5.25% Senior Notes Due 08/31/2028 (RILYZ)

B. Riley Financial, Inc. 5.25% Senior Notes Due 2028, issued in $25 denominations, redeemable at the issuer’s option on or after 08/31/2023 but before 08/31/2024 at $25.75 (103%) per share plus accrued and unpaid interest; on or after 08/31/2024 but before 08/31/2025 at $25.50 (102%) per share plus accrued and unpaid interest; on or after 08/31/2025 but before 08/31/2026 at $25.25 (101%) per share plus accrued and unpaid interest; on or after 08/31/2026 at $25.00 (100%) per share plus accrued and unpaid interest per share plus accrued and unpaid interest, and maturing 08/30/2028.

Interest distributions of 5.25% per annum ($1.3125 per annum or $0.328125 per quarter) will be paid quarterly on 1/31, 4/30, 7/31 & 10/31 to holders of record on the record date that will be 1/15, 4/15, 7/15 & 10/15 respectively.

How to Buy 

To invest, you’ll just buy shares in your online brokerage account at Fidelity, TD Ameritrade, SoFi Invest, etc.