NCZ - New Preferred Stock IPOs September 2018
The U.S. preferred stock marketplace experienced a monumental change during September and preferred stock issuers seem to have seen it coming.
Increasing rates deliver increased income to preferred stock buyers as the dividends paid by new issues go up. But increasing dividend rates means an increase in dividend expense to the issuing company. While we usually see five or six new preferred stock issues each month, we saw sixteen during September, just ahead of the Fed’s September 26 interest rate increase.
Preferred stock prices fell an average of $0.41 per share during September, delivering higher