 Understanding Preferred Stocks
DISCLAIMER - I am not a Financial Advisor and do not work for any Brokerage Firm. The opinions given are my own and are not to be used as professional advice. These are my findings and can hopefully help you make informed investing decisions. Consult a Broker or Lawyer before making any investment. One of the better investment vehicles available to investors is the equity class called Preferred Shares or Preferred Stock. Not much is said about them, so I am going to try and shed some light on the topic and teach a bit about the basics involved in Preferred Stock. Many Preferred Stock shares pay excellent dividends, and some pay above 10%. Many can be purchased well below their par value which is normally $25 per share. Preferred Stocks (or Preferred Shares) are simply a class of equity stocks. They hold a senior position over common shares. One of the big differences (which is of little significance to small investors) is that Preferred Shares do not hold voting rights. In concept, they are much like a bond, but they are not a debt. In case of bankruptcy, bonds being debt would be paid first, then Preferred Shares, and if any money was left, the rest would be paid to the common stock shareholders. Continue Reading here
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 Minimalism and Delayed Gratification
Minimalism speaks of living a simpler, more focused life. Do you ever consider the difference in having it right now, or waiting for a bigger thing later on? The ability to delay an impulse for an immediate reward to receive a more favorable reward at a later time is the standard definition of delayed gratification. Studies have shown that the ability to delay reward is not easy but has great rewards for those who can learn to do it. The ability to self-regulate and show control will directly impact the outcomes of all your future plans. In a culture surrounded by messages saying that you can lose the discomfort right now, the ability to wait for a long-term reward is less attractive and few are willing to wait. Delayed gratification is a muscle we can all grow to serve our future selves. Sometimes discomfort is the more beneficial choice. Today we are living in a time when people want things, and they want them now. Patience has almost began to be a thing of the past. Christians sometimes forget that we are commanded to wait on the Lord. (Pro 20:21) An inheritance may be gotten hastily at the beginning; but the end thereof shall not be blessed. (Pro 20:22) Say not thou, I will recompense evil; but wait on the LORD, and he shall save thee. (Psa 27:13) I had fainted, unless I had believed to see the goodness of the LORD in the land of the living. (Psa 27:14) Wait on the LORD: be of good courage, and he shall strengthen thine heart: wait, I say, on the LORD. And the bible tells us we can manually acquire patience, but it comes from a tough source. (Rom 5:3) And not only so, but we glory in tribulations also: knowing that tribulation worketh patience; (Rom 5:4) And patience, experience; and experience, hope: (Rom 5:5) And hope maketh not ashamed; because the love of God is shed abroad in our hearts by the Holy Ghost which is given unto us. So verse 3 says we can acquire patience, but it comes via tribulations. I think it best to learn a little patience without having to go through the tough times. I am sure you have friends who got married and expected in their first year of marriage to have a lifestyle better than their parents. It may have taken the parents a lifetime to acquire their home and possessions. But the newlywed couple immediately want a large home and two cars. And with credit so easy to obtain, many buy houses that cost over 30% of their take-home pay, putting a crunch on their finances. Continue Reading on LifeCanBeSimple Blog |
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October 2023
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