The 6 Highest Yielding 'Investment Grade' Cumulative Preferred Stocks

As an income investor, I feel that it is very important to diversify my holdings and to build a portfolio on a strong foundation of securities where the parent is relatively safe and has the ability to pay a reliable and sustainable distribution. Preferred stocks & ETD securities are a key part of the foundation from which I build upon. There are many risk levels within each asset class and type of investment that an investor can choose from. This includes preferred stocks and ETD securities. If an investor is looking to reduce his or her risk, one good place to start is by looking at the Moody’s and S&P ratings to find “Investment Grade” securities.
This article will do 3 things:
Provide information about investment grade ratings from Moody’s and S&P. Provide a list of all parent companies who have cumulative preferred stocks that are rated “investment grade”. Display 8 of the highest yielding cumulative preferred stocks now available in the marketplace. I will then review each company using the Where’s the Metrics analysis system that uses 5 important areas of analysis: earnings, payout ratios, debt ratios, credit rating and dividends. The Rating Services
Moody’s and S&P (Standard & Poor’s) are 2 of the big 3 credit rating services in the U.S. They both originated over a 100 years ago; and in 1975, they were both identified as a Nationally Recognized Statistical Rating Organization (NRSRO) by the U.S Securities and Exchange... Read more