Husky Energy Inc. cumulative redeemable preferred T.HSE.PR.B

Review of RISKS to PREFERREDS.... Basically 3 Risks

[RagingBull3]

1.  HSE goes Bankrupt :  Questionable what the Preferreds will get but I think this situation highly unlikely.   

2. HSE goes Private:  This situation Preferreds will get $25/share, again highly unlikely.

3. Interest Rates Goes Negative:   This will cause rates for Preferreds to drop and amount of dividend paid to decrease.   Given what the BoC indicated many times, this is NOT GOING to happen.  But also they indicated that they are willing to hold rates near zero for extended period of time.   I'm betting rates will head higher, much higher..... but if they don't, these Preferred are already yielding high rates.

All 3 risks are highly unlikely, IMHO.   

Risk #2 infact not a risk, getting one time payout of $25 fine by me, I just have to use that money to go find another dividend paying stock.

Very low risk for such high yields !!!

Again, all just my opinion.   Do your own DD.