Bond and prefered stock question?

**grapes** Tue Sep 19, 2006 7:28 pm

Bond and prefered stock question?
Blast,

A basic question about bond and prefered stock. For a company's bonds and prefered stock, where can one readily found the current market quote and symbol of it? Also, normally how much the trade costs is involved? Is it realistically feasible for one to invest just say 1 thound dollars there?

thx

**blast_investor** Tue Sep 19, 2006 10:32 pm

Re: Bond and prefered stock question?
Hi grapes,

Preferred stocks are traded just like regular stocks. You can find ticker and buy and sell them.

Bonds are different story. We don't invest into bond so that I don't know much about them.

Many brokers do offer bond trading, but the transaction cost is pretty high.

Bonds can be traded like stocks. But I belive retail investors are not big factor in bond trading. Institutional investors and mutual funds are the major force in trading bonds.

grapes wrote: Blast,

A basic question about bond and prefered stock. For a company's bonds and prefered stock, where can one readily found the current market quote and symbol of it? Also, normally how much the trade costs is involved? Is it realistically feasible for one to invest just say 1 thound dollars there?

thx

**CrossProfit** Sat Sep 23, 2006 8:25 am

Bond and prefered stock question?
grapes-

What is your rationale for investing $1000 in a preferred stock?

Is it that you are afraid that the company will not distribute a dividend to all classes of stock? Do you think that the company may have liquidity issues? Or is it something else altogether?

FYI, most preferred stocks have a lower trading volume which may make it more difficult to unload should the case arise.

CrossProfit
http://www.crossprofit.com

**grapes** Mon Sep 25, 2006 12:48 pm

Re: Bond and prefered stock question?
The reason I use $1000 as example is that this magnitude of money is what I have and can afford to lose :).

In fact, I don't intend to seek for income from preferred. I am more into capital gains. Put it another, when there is panic selling and you are sure that the asset in a company for sure can take care of preferred, but not quite sure of common. If preferred is selling at a big discount to par value, it may be a good opportunity. The thing is that I just want to know if something like 1000 dollar is realistic to be invested into those situations. So indeed, preferred stock trading is just like normally stock. Any place we can easily find those tickers?

CrossProfit wrote: grapes-

What is your rationale for investing $1000 in a preferred stock?

Is it that you are afraid that the company will not distribute a dividend to all classes of stock? Do you think that the company may have liquidity issues? Or is it something else altogether?

FYI, most preferred stocks have a lower trading volume which may make it more difficult to unload should the case arise.

CrossProfit
http://www.crossprofit.com