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What's Your Preference

TedTed
edited August 2012 in Fund Discussions
FYI: Have owned PFF since 09, at $18.00 per share, plus 6% monthly yield, and have never look back.
Regards,
Ted
http://online.barrons.com/article/SB50001424053111903940904577559020585511912.html?mod=BOL_funds_recent#printMode

Comments

  • Nice. Had not really known about such offerings for income investors and the hybrid nature of preferred stocks until your post. Interesting distinctions, but sounds like such offerings may get squeezed after 2013 with The Dodd-Frank Act and Basel III. Here is Wiki background article: http://en.wikipedia.org/wiki/Preferred_stock.
  • edited August 2012
    Charles, you will likely find some preferreds in some of your fund holdings; but the PFF noted by Ted is very direct to this area. The below link provides a decent overview of preferreds, as well as a notation about Dodd-Frank provisions.

    Fidelity article
  • Reply to @catch22: Very good article shedding more light into this option. Thanks catch22.
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