Tag - Sheaff Brock Director Jim Murphy

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 | active investing to outperform the market | portfolio managers

Passive vs. Active – The Beauty of Both

One question any investor must consider is whether to take an active or passive approach to investing. Per Investopedia, “The predominant investment strategy today is active investing,” which attempts to beat a particular benchmark and “outperform the market.” Continuing, the article points out, “anomalies and irregularities in the capital markets can be exploited by those with skill and insight.” By contrast, passive investing, the authors explain, is an approach based on investing in exactly the same securities, in the same proportions, [...]