The Fed's rate hike and recent comments and rising bond yields are causing discounts in some preferred shares. The price of this series is now ~17% below its $25 call value. It has a floating rate feature, which will protect investors against rising rates, and may lead to a windfall profit down the road.
As part of the HDS+ portfolio holdings, NuStar Energy L.P. 8.50% Series A Fixed/Float Cumul. Red Perp Preferred Units (NYSE:NS.PA) and NuStar Energy L.P. 7.625% Series A Fixed/Float Cumul Red Perp Preferred Units (NYSE:NS.PB) have both been further discounted by the market recently, due to the Fed's .25% rate hike and rising bond yields. NuStar Energy L.P. 9.00% Series C Fixed/Float Cumul Red Perp Preferred Units (NYSE:NS.PC) also has fallen a bit as well.
Source: Seeking Alpha
Related Articles:
- All Investing Involves Risk
- 4 Dividend Stocks With Room To Increase Their Payout
- High-Quality, Low-Risk Dividend Stocks
- 10 Dividend Stocks With A 10% Yield In 10 Years
- Are ETFs and CEFs Good Dividend Growth Investments?
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
Showing resilience during a tough week was a group of stocks that has not been heard from much in the past two years. A group that has been ...
-
In bull markets, dividends become more or less irrelevant. When the Dow Jones Industrial Average traded above 14,000 in 2007, very few stoc...
-
Anxiety over the European debt crisis and distrust in the markets drove volatility in global stock markets to dizzying heights in 2011. The ...
-
Different investors often have different investment objectives. If your goal is to get rich overnight, then betting on the hottest tech stoc...
-
If you are going down the dividend route, you may as well find stocks that are performing well, regardless of the dividend — stocks where th...
-
There are some dividend aristocrats which have not only maintained but increased their dividends for over half a century. Having survived ev...
-
If you invest for income, then dividend-paying stocks are likely to be a core component of your investment approach. The worst fear for inco...
-
Many investors have heard of dividend aristocrats, stocks which have increased dividends for at least 25 straight years. However, once these...
-
For retirees, buying and holding high-quality dividend stocks is arguably the best way to predictably create and sustain wealth. But investi...
-
If you are a devoted dividend aficionado, there are probably few thrills as exciting as seeing a dividend payment hit your brokerage account...
0 comments
Post a Comment
Post a Comment