Tag - Preferred Stock Income

Interest Rate Signs Increasing in Size | Managing Interest Rate Risk for Preferred Stock Income | Sheaff Brock Investment Advisors

Managing Interest Rate Risk in a Preferred Stock Portfolio

If I invest in preferred stock for the income just when interest rates are rising, won’t I be setting myself up for losing money? “Not necessarily,” contends JR Humphreys CFA, CAIA, Senior Portfolio Manager at Sheaff Brock Investment Advisors. Humphreys explains that, “increasing interest rates is usually the result of an improving economy that could lead to credit rating upgrades for the preferred equity, resulting in a higher price.” Many investors have the perception that preferred securities are highly interest-rate [...]

Sheaff Brock Investment Advisors | portfolio managers offer offense, defense, and special teams for investors

Building All Aspects of Gameday Strategy

Like a well-run football team, portfolio managers should consider offering long-term investors all three facets of game strategy: offense, defense, and special teams. Marv Levy, former head coach of the Buffalo Bills who led the team to an unprecedented four consecutive Super Bowl appearances, explained, “There’s these parts to football—offense, defense, and special teams. You’d no more ignore special teams than you would ignore offense and defense.” He further defined these three different areas of focus, which are all going on [...]