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Bank of America Trust Originated Preferred Securities Ex-Dividend Reminder

On 12/24/15, Bank of America Corp.'s 7.12% Trust Originated Preferred Securities (Symbol: MER.PRE) will trade ex-dividend, for its quarterly dividend of $0.445, payable on 12/30/15. As a percentage of MER.PRE's recent share price of $25.87, this dividend works out to approximately 1.72%, so look for shares of MER.PRE to trade 1.72% lower - all else being equal - when MER.PRE shares open for trading on 12/24/15. On an annualized basis, the current yield is approximately 6.89%, which compares to an average yield of 5.81% in the "Financial" preferred stock category, according to Preferred Stock Channel . The chart below shows the one year performance of MER.PRE shares, versus BAC:

Performance Comparison Chart

Below is a dividend history chart for MER.PRE, showing historical dividends prior to the most recent $0.445 on Bank of America Corp.'s 7.12% Trust Originated Preferred Securities:

MER.PRE+Dividend+History+Chart

According to the ETF Finder at ETF Channel, Bank of America Corp. (Symbol: BAC) makes up 7.97% of the iShares U.S. Financial Services ETF ( IYG ) which is trading higher by about 0.3% on the day Tuesday.

In Tuesday trading, Bank of America Corp.'s 7.12% Trust Originated Preferred Securities (Symbol: MER.PRE) is currently up about 0.1% on the day, while the common shares (Symbol: BAC) are up about 0.4%.

Click here to learn which S.A.F.E. dividend stocks also have preferred shares that should be on your radar screen »

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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