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By Tim McPartland Two Harbors Investment (NYSE:TWO) has sold a large issue of fixed-to-floating-rate preferred stock with an initial coupon of 7.625%. The issue is 10,000,000 shares ($25 per share) with an additional 1,500,000 shares reserved for broker overallotments. Like many fixed-to-floating-rate preferred issues, the coupon will be fixed at 7.625% for a period of 10 years, after which it will float…

Date Issued   7/12/2017 Shares Issued  10,000,000    Overallotment Shares  1,150,000 S&P Rating   NR    Moodys Rating   NR Security Ticker Symbol   TWO-B    OTC Grey Market  TWHBP Market Traded ON   NYSE Dividend Payment Paid on the 27th of January, April, July and October beginning on 10/27/2017 Quarterly Dividend   .476 Annual Dividend   1.906 Securities may be redeemed, at the issuers option, as early as 07/27/2027  the…

Preferred stocks typically are redeemable (callable) 5 years after issue, at the option of the issuer, for Par (typically $25) plus accrued dividends.  If interest rates are dropping they are more likely to redeem the issue and issue a security with a lower coupon (essentially it is a 'refi' transaction).  If rates are rising the issuer is NOT likely to…

Two income-focused funds reward their investors with 7.2%-plus dividend yields to go along with their respective one-year asset appreciation of 8.1% and 14.7%. Over the past five years, the two funds increased share prices by more than 70%. Since 2013, the funds also hiked their annual dividend distribution at average growth rates exceeding 5.5% per year. The ex-dividend dates are…

A Canadian bank and a U.S. industrial goods manufacturer have been paying rising dividends for at least the past seven consecutive years and offer dividend yields of 3.6% and 3%, respectively. The industrial goods manufacturer started paying a dividend in 1991. However, those 26 years of dividend distributions pale in comparison to the bank’s history of paying a dividend for…