TSX:HSE.PR.B - Post by User
Comment by
RagingBull3on Jun 08, 2020 2:00pm
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Post# 31125114
RE:RE:RE:RE:Evaluating Reward Opportunity of Preferreds
RE:RE:RE:RE:Evaluating Reward Opportunity of PreferredsYa, I'm new to Preferreds. Never really paid any attention to them.... Until now because of the Crazy Yields.
Just think... high much higher the Yields will go when BoC starts increasing them again!
I'm guessing I'll be making over 20%+ Yield in dividends next reset.
CanadianPreferr wrote:
Preferreds are a complex structure with many metrics to consider. Free Information regarding preferreds is very limited. In my opinion the reasos for the large spread between the 2L preferreds are.
. Fear of the company going bankrupt.
. Renewal Date of the preferred. (Due to current interest rate)
. Sturcture of the preferred ( Reset/Floating/Min Reset/Perpetual)
. Initial spread
. Investor inability to compare across all preferreds. This is the main reason l created my website.
I think there is good money to be made in preferreds. Of course you need to do your homework.