Why Two Harbors Preferred Shares Outperform Common Stock

Analyzing Two Harbors' Preferred Shares

When evaluating investment options, preferred shares of Two Harbors present a more enticing opportunity than their common stock. Here are the key reasons:

Benefits of Preferred Shares

• Higher Dividends: Preferred shares typically offer superior dividend rates.
• Lower Volatility: Investors may experience less price fluctuation compared to common stock.
• Priority in Liquidation: In the event of liquidation, preferred shareholders have precedence over common shareholders.

Conclusion

In summary, for those seeking stable income, Two Harbors' preferred shares provide a compelling alternative to common shares. Given the current market volatility, these financial instruments may better suit risk-averse investors.