I’m going to sell these preferred shares out of Jubak’s Picks as of October 7. They’ve given me what I wanted—a good return and safety– while the market and economy were at their shakiest. But the reward for staying on board going forward is limited to the yield, about 7.2% at the moment—and I think I can do better while taking on only slightly more risk by moving from these preferred shares to the common stock of insurer W.R. Berkley. I’ll be buying those shares today; see my post below.
I have a 17.5% gain—21.6% total return with dividends—on these preferred shares since I added them to Jubak’s Picks on February 17, 2009. For the most recent report on the performance of the entire Jubak’s Picks portfolio follow this link http://jubakpicks.com/jubaks-picks-performance-3rd-quarter-up-8-4-ytd-16-7 (Full disclosure: I will sell W.R. Berkley Capital Trust Preferred out of my personal portfolio three days after this is posted.)