Coupon is fixed at 6.95% until 9/15/2029 after which the coupon will reset at the 5 year treasury plus a spread of 2.771%
May only be redeemed on a dividend payment date
Type: Fixed-Rate Reset
Synchrony Financial 8.25% Fixed Rate Reset Non-Cumulative Perpetual Preferred Stock, Series B
From and including the date of issuance at a rate of 8.250% per annum, to but excluding, the First Reset Date, and from and including the First Reset Date, during each Reset Period, the Five-Year U.S. Treasury Rate as of the most recent reset dividend determination date (each as defined in the preliminary prospectus supplement dated February 15, 2024) plus 4.044%. 1st reset date is 5/15/2029
Redeemable only on the first reset date and any dividend payment date after that
Jackson Financial Inc. 8.00% Fixed-Rate Reset Noncumulative Perpetual Preferred Stock, Series A
Coupon is fixed at 8% until 3/30/2028 after which it will reset at the 5 year treasury plus a fixed spread of 3.728%. The coupon will reset every 5 years.
Ellington Financial Inc. 8.625% Series C Fixed-Rate Reset Cumulative Redeemable Preferred Stock
The coupon is fixed at 8.625% until 4/30/2028 at which time the rate is reset at the 5 year treasury plus a spread of 5.13% afterwhich the rate resets every 5 years.
Redwood Trust Inc. 10.00% Series A Fixed-Rate-Reset Cumulative Redeemable Preferred Stock
Coupon is fixed at 10% until 4/15/2028 after which it will reset at the 5 year treasury rate plus a spread of 6.278%
AGNC Investment Corp 7.75% Series G Fixed-Rate Reset Cumulative Redeemable Preferred Stock
AGNC Investment Corp (AGNC) is a Mortgage Real Estate Investment Trust (REIT) that specializes in investing in residential mortgage-backed securities. AGNC is one of the largest mortgage REITs in the United States and has a strong track record of delivering consistent income to its shareholders.
AGNC’s business model involves borrowing money at short-term interest rates and investing in long-term residential mortgage-backed securities. The difference between the short-term borrowing rate and the long-term mortgage yield is the profit margin for the REIT. This strategy allows AGNC to generate high levels of income for its shareholders, often yielding more than other types of REITs and traditional fixed-income investments.
However, like all mortgage REITs, AGNC is subject to a number of risks, including interest rate risk, credit risk, and liquidity risk. Interest rate risk arises from the fact that AGNC borrows at short-term rates and invests in long-term assets, meaning its profits are sensitive to changes in interest rates. Credit risk refers to the possibility of defaults or other problems with the underlying mortgages in AGNC’s portfolio. Liquidity risk refers to the possibility that AGNC may have difficulty selling its investments to meet its obligations, particularly during periods of market turbulence.
Despite these risks, AGNC has a strong track record of delivering consistent income to its shareholders and is well-regarded in the mortgage REIT industry. The company has a strong management team and a well-established investment strategy, making it a popular choice among investors seeking high-yielding income investments.
Coupon is fixed at 7.75% until 10/15/2027 after which it will reset at the 5 year treasury yield plus a spread of 4.39%. Coupon will then reset on the anniversary every 5 years.
Merchants Bancorp 8.25% Fixed Rate Reset Series D Non Cumulative Perpetal Preferred Stock
Coupon is fixed until 10/1/2027 at 8.25% after which it is reset at the 5 year treasury plus a fixed spread of 4.34%. The coupon will be reset every 5 years
May only be redeemed on a dividend payment date
Midland States Bancorp 7.75% Fixed-Rate Reset Non-Cumulative Perpetual Preferred Stock Series A
Coupon is fixed at 7.75% until 9/30/2027 after which it will reset at the 5 year treasury plus a spread of 4.713%. Coupon is reset every 5 years.
Keycorp 6.20% Fixed-Rate Reset Perpetual Non-Cumulative Preferred Stock, Series H
Initial fixed dividend is 6.20% until 12/15/2027 at which point it will reset based on the 5 year treasury plus a spread of 3.132%
Issue may only be redeemed on a dividend payment date
Banc of California 7.75% Fixed Rate Reset Non-Cumulative Perpetual Preferred Stock Series A
Coupon will reset every 5 years starting 9/1/2027 to the 5 year treasury rate plus a spread of 4.82%
Banc of California acquired Pacwest and this previous Pacwest Issue is now a Banc of California issue