What's the catch? (aside from investing in a global bank)

NEW -> Contingent Buyer Assistance Program

Fraychielle_IHB

New member
so my broker sends me a solicitation for:



Citigroup preferred



Priced at 16.5, 12.3% current yield (perpetual yield)



Callable in 9 1/2 years at 25 (works out to be about 4.5% return)



Ordinarily I wouldn't touch anything financial (indeed anything in the stock market right now) with a 100 foot pole



Small print, as for any preferred, is that it is subordinate to bond debt. I suppose they can also cut the divvy.



I'm not really looking for investment advice, but want to pick peoples' brains about the catch(es)
 
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