4 High Yield Insurance Preferred Stocks For Consideration

By Roger Choudhury I like preferred stocks because I can smooth out the bumps and erratic moves of the market through consistent dividend payments. Also, these instruments do not ebb and flow drastically like common shares and equities. Sophisticated investors should keep in mind that companies aim to make the dividend payments to avoid credit rating downgrades. Below, I focus on insurance companies because of consistent premiums from their clients. I take care to mention those at or below par value or call price, which is the dollar amount that you get after maturity is reached. Generally speaking, you should avoid instruments that trade significantly above par value, because you end up losing the gap between what you paid for and the par value or call price. With the Fed targeting 0%-0.25% for the federal funds rate and slowing global economic growth, you ought to consider the following: AEGON (AEG) (6.375% perpetual) Earnings are due out February 17 on this pension and insurance behemoth and I think the numbers will look good for the full year. The current year estimate is for $0.43 cents. I think that with aging demographics in Europe and the U.S. and lots of job cuts…