What's the difference between AGNC and ACAS? AGNC is full of liquid assets and trades at a premium, whereas ACAS is full of illiquid assets and currently trades well below net asset value.
Also, ACAS has blown its debt covenants by suffering loss of net asset value. So, what's ACAS been doing? Hoarding cash. Cash may not produce returns, but it puts ACAS in a position to bargain with creditors worried ACAS can't pay its debts. It also puts ACAS in a position to persuade bankruptcy judges that it's in a fine position to continue paying interest timely for the foreseeable future, and operating its business as a going concern. Cash is what separates ACAS from a failed insolvent.
Cash is how ACAS will restructure its debt and end the default-rate interest that has sapped its NOI for over a year. ACAS' efforts to improve asset liquidity through ownership of publicly-traded portfolio companies and the presence of cash will improve ACAS' NAV and the ability of even fools to see ACAS' solvency. ACAS' improved liquidity is its strategy to move toward a future unclouded by old asset covenants breached when the market tanked in 2008.