Markets

Fairfax Financial Holdings Cumulative 5-Year Rate Reset Preferred Shares, Series K About To Put More Money In Your Pocket

Shutterstock photo
Shutterstock photo

Shutterstock photo

On 12/14/16, Fairfax Financial Holdings Ltd's Cumulative 5-Year Rate Reset Preferred Shares, Series K (TSX: FFH-PRK.TO ) will trade ex-dividend, for its quarterly dividend of $0.3125, payable on 12/30/16. As a percentage of FFH.PRK's recent share price of $20.95, this dividend works out to approximately 1.49%, so look for shares of FFH.PRK to trade 1.49% lower - all else being equal - when FFH.PRK shares open for trading on 12/14/16. On an annualized basis, the current yield is approximately 5.99%.

As of last close, FFH.PRK was trading at a 16.52% discount to its liquidation preference amount. It should be noted that the preferred shares are convertible . The chart below shows the one year performance of FFH.PRK shares, versus FFH:

Performance Comparison Chart

Below is a dividend history chart for FFH.PRK, showing historical dividends prior to the most recent $0.3125 on Fairfax Financial Holdings Ltd's Cumulative 5-Year Rate Reset Preferred Shares, Series K:

FFH.PRK+Dividend+History+Chart

According to the ETF Finder at ETF Channel, Fairfax Financial Holdings Ltd (TSX: FFH.TO ) makes up 1.76% of the SPDR MSCI Canada StrategicFactors ETF ( QCAN ) which is trading relatively unchanged on the day Monday.

In Monday trading, Fairfax Financial Holdings Ltd's Cumulative 5-Year Rate Reset Preferred Shares, Series K (TSX: FFH-PRK.TO ) is currently up about 0.4% on the day, while the common shares (TSX: FFH.TO ) are trading flat.

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.