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Strategies & Market Trends : Convertible Hedge investors? -- Ignore unavailable to you. Want to Upgrade?

To: Ted S who wrote (65)	2/3/1998 10:48:00 PM
From: Scott Mc	Read Replies (1) \| Respond to of 107

Ted, my experience with conv preferred is that they are a bit riskier for the following reasons. 1. No maturity date I have also found that companies will usually try and pay the dividend, they rank ahead of the common (you are a creditor, not an owner), but that they are usually callable at less friendly terms than bonds. The margin is higher than bonds, however the dividend can sometimes have more favorable tax treatment. John, can you add anything else? I presently own Beazer.A, WHX.A, and Ivaco.H(canadian) convertible preferrs.. Scott