4 Well-Covered Preferreds Yielding Over 8%: No K-1, All Going Ex-Dividend Soon

With some high dividend stocks struggling with coverage over the past year, you may want to consider adding some preferreds to your portfolio. Preferred shares rank higher than common shares in two ways:
On an income statement, companies deduct the preferred dividends before determining the cash available to common shareholders. In a liquidation, preferred shareholders rank senior to common shareholders. Since the shares in this article are all cumulative, there's a third benefit: Management must pay preferred shareholders any skipped dividends, before paying common dividends.
Seaspan Corp. (SSW) is the world's largest independent owner, operator and manager of containerships. it has an average of ~5 years remaining on its long term charters, which represent 90% of its revenue. The company has had its ups and downs over the past few years, and actually cut its common dividend from $.375 to $.125 a year ago, in April 2017.
(Source: SSW GCI presentation)
However, management has made a couple of moves in 2018, which should help the company's prospects moving forward. We'll discuss its new alliance with Prem Watsa's Fairfax Financial Holdings later in the article.
In late March '18, management announced that it had acquired the remaining 89% it did not own of Greater China Intermodal Investments LLC ("GCI") from affiliates of The Carlyle Group and the minority owners of GCI.
GCI’s fleet of 18 modern containerships is... Read more

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