Preferred Income | Separately Managed Account
The Preferred Income strategy seeks current income as its primary objective. The portfolio invests in a wide variety of preferred stocks that display high, steady, and consistent income.
Strategy Highlights
Seeks potential income from higher-yielding preferred stocks and capital securities, some of which may be U.S. tax advantaged.
Active management of this SMA to potentially exploit inefficiencies such as credit quality, interest rate structure and call risk.
Diversification from traditional equity and fixed income strategies.
SMA Portfolio Construction
1ST | Macro Outlook
Develop views about the economy, markets, and interest rates.
2ND | Screen
Filter retail and institutional for yield, duration, liquidity, credit quality, and coupon structure.
3RD | Decision
Select 25-30 stocks from the screened holdings based on pricing and attractive opportunities which can include undervalued sectors and/or companies. Positions are reviewed regularly.