If the ups and down of the stock market make you queasy, then income securities might calm the jitters. In The November 2000 issue, I wrote an article called “Income Securities on Sale .”
At that time, investors wanted stocks and opportunities for appreciation. Income security prices had languished and I termed them “on sale.” The prices have since risen somewhat as interest rates have declined and some investors have decided that owning fixed income securities may not be a bad idea.
Here is a sample of preferred shares from established companies (these samples are illustrated as examples, not recommendations). If you would like an updated list or want to know more about securities yielding 8%, simply check off on the attached coupon.
S&P Rating |
Description |
Symbol |
Div Rate |
Next Payment |
Price |
Current Yield |
Yield to Call |
Call Date |
Call Price |
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A+ |
ABN AMRO Cap Fund II 7.125% |
ABNprB |
0.4453 |
09/30/2001 |
24.78 |
7.19% |
7.48% |
03/31/2004 |
25 |
A+ |
Farmers Group 8.25% |
FIGprB |
0.5156 |
07/02/2001 |
25.6 |
8.06% |
8.02% |
12/31/2025 |
25 |
A |
Chase Preferred 8.10% |
CMBpr |
0.5062 |
09/30/2001 |
25 |
8.10% |
8.09% |
09/17/2001 |
25 |
A- |
Allstate Fin 7.95% QUIPs |
ALLprA |
0.4968 |
09/30/2001 |
25.16 |
7.90% |
6.40% |
11/24/2001 |
25 |
A- |
Duke Capital Fin II 7.375% QUIPs |
DUKprU |
0.4609 |
09/30/2001 |
25 |
7.37% |
7.37% |
09/30/2003 |
25 |
A- |
Travelers P&C 8.08% |
TAPprA |
0.505 |
09/30/2001 |
25.22 |
8.01% |
** |
any |
25 |
A |
American General 8.45% |
AGCprM |
0.54 |
07/02/2001 |
25.3 |
8.54% |
** |
any |
25 |
BBB+ |
Capital Re LLC 7.65% MIPs |
KREprL |
0.4781 |
08/01/2001 |
21.75 |
8.79% |
** |
any |
25 |
BBB+ |
Public Storage 8.875% |
PSAprG |
0.5546 |
09/07/2001 |
24.89 |
8.91% |
** |
any |
25 |
BBB |
Sierra Pacific Power 8.60% |
SRPprT |
0.5375 |
07/02/2001 |
24.48 |
8.78% |
28.54% |
07/29/2001 |
25 |
BBB |
Lincoln National 8.35% |
LNCprY |
0.5218 |
07/02/2001 |
25.51 |
8.18% |
** |
8/20/'2001 |
25 |
BBB |
Avalon Bay Communities 9% |
AVBprF |
0.5625 |
08/01/2001 |
25.12 |
8.96% |
** |
any |
25 |
BBB |
First Industrial Realty 9.5% |
FRprA |
0.5937 |
09/30/2001 |
25.02 |
9.49% |
** |
any |
25 |
BBB |
AT&T Capital Corp 8.25% |
NCD |
0.5156 |
09/30/2001 |
25.5 |
8.09% |
7.33% |
11/15/2003 |
25 |
BBB |
Nexen 9.75% |
NXYpr |
0.6093 |
09/15/2001 |
25.46 |
9.57% |
8.87% |
10/30/2003 |
25 |
BBB |
NVP Capital I 8.20% |
NVPpr |
0.5125 |
09/30/2001 |
22.74 |
9.01% |
21.10% |
04/01/2002 |
25 |
BBB- |
Placer Dome 8.625% |
PDGprA |
0.539 |
09/28/2001 |
22.8 |
9.46% |
28.54% |
12/17/2001 |
25 |
BBB- |
Gables Residential Trust 8.3% |
GBPprA |
0.5187 |
08/29/2001 |
23.57 |
8.80% |
14.03% |
07/24/2002 |
25 |
BBB- |
BRE Properties 8.5% |
BREprA |
0.5312 |
09/30/2001 |
25.25 |
8.42% |
8.07% |
01/28/2004 |
25 |
BBB- |
Newscorp 8.625% |
NOPprA |
0.539 |
09/30/2001 |
24.37 |
8.85% |
** |
any |
25 |
|
**purchase not recommended above $25 per share |
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