Flaherty & Crumrine Preferred Income OpportunityFund Inc

Flaherty & Crumrine Preferred & Income Opportunity Fund, Inc. is a closed-end investment company, which engages in the investment in preferred stocks. It concentrates its investments in the financial services sector. The company was founded on December 10, 1991 and is headquartered in Pasadena, CA.

Flaherty & Crumrine Dynamic Preferred & Income Fund

Flaherty & Crumrine Preferred Securities Income Fund Inc

Flaherty & Crumrine Total Return Fund Inc

Flaherty & Crumrine Preferred Income Fund Inc

PASADENA, Calif.--(BUSINESS WIRE)--The Boards of Directors of Flaherty & Crumrine Preferred and Income Fund Incorporated (NYSE: PFD), Flaherty & Crumrine Preferred and Income Opportunity Fund Incorporated (NYSE: PFO), Flaherty & Crumrine Preferred and Income Securities Fund Incorporated (NYSE: FFC), Flaherty & Crumrine Total Return Fund Incorporated (NYSE: FLC) and Flaherty & Crumrine Dynamic Preferred and Income Fund Incorporated (NYSE: DFP) today announced that they have d.

PFD, PFO, FFC, FLC and DFP Announce Special Year-End Distributions and December and January Dividends

The Flaherty & Crumrine Preferred Income Opportunity Fund provides exposure to preferred and income securities. PFO has seen its discount narrow dramatically since our last update, but with a changing interest rate environment, the fund can continue to do well. With lower borrowing costs as the Fed cuts rates, they can continue to see distribution boosts as NII increases.

PFO: Discount Narrows, But Changing Environment Continues To Make Fund Attractive

The Flaherty & Crumrine Preferred and Income Opportunity Fund has delivered a big return over the past year, outperforming the S&P 500. PFO's portfolio is heavily weighted in financial services, with significant holdings in banks, insurance, and utilities sectors. PFO's leverage and expense ratio are comparable to its peers, but it has the lowest five-year NAV return among them.

Preferred CEFs Are On Fire: PFO's Big 1-Year Return, 8% Discount

PFD, PFO, FFC, FLC and DFP Announce November Dividends

BlackRock Municipal 2030 Target Term Trust

Saba Closed-End Funds ETF

Eaton Vance Municipal Bond Fund

Western Asset High Yield Defined Opportunity Fund Inc

Nuveen Municipal Credit Income Fund

RiverNorth Capital and Income Fund

PGIM Shrt Duratin Hgh Yld Opprtnts Fund

Volatility in the closed-end fund, or CEF, market has recently increased, while tight discounts create a point of vulnerability for the market. We discuss various strategies investors can use to make their CEF portfolios more resilient to take advantage of future draw-downs. These strategies include focusing on likely CEF distribution changes, seeking funds with wide discounts, considering term CEFs, and riding sidecar with CEF activists.

Ideas For Managing CEF Discount Volatility

Ares Capital

Fidus Investment

Nuveen Churchill Direct Lending Corp

New York Mortgage Trust

New York Mortgage Trust, Inc. Cum Conv Perp Red Pfd Registered Shs Series D

Oxford Lane Capital

Oxford Lane Capital Corp 7 1/2 % Term Cum Pfd Shs Series -2023-

The Fed is expected to lower short-term rates soon, impacting distributions for investment vehicles like CEFs and BDCs. Investors should focus on both distribution paths and valuations of CEFs, as valuation changes can significantly affect portfolio wealth. BDCs, despite holding floating-rate assets, offer high dividend coverage and income diversification, making them attractive even in a rate-cutting cycle.

Gauging Distribution Winners And Losers In The Next Rate Cycle

Nuveen Preferred & Income Term Fund

Neuberger Berman Intermediate Municipal Fund Inc

We review CEF market valuation and performance through the fourth week of July and highlight recent market action. The week was mixed for CEFs with a high level of volatility. Neuberger Berman hikes Muni CEF distribution by 43%.

CEF Weekly Review: Neuberger Berman Doesn't Want To Be Left Out

Bain Capital Specialty Finance Inc

Barings Global Short Duration High Yield Fund

Gladstone Capital

Blue Owl Capital Corp

Blue Owl Capital Corp III

Income assets and financial markets have surged, with only local EM debt in the red year-to-date, due to dollar strength. Our countercyclical approach has led to the culling of high-flyers like BDC Gladstone Capital and the CEF Nuveen Preferred and Income Term Fund. We highlight opportunities in securities that have lagged the market across the CEF and BDC sectors.

Opportunities In Income Securities That Have Lagged The Rally

PFD, PFO, FFC, FLC and DFP Announce August, September and October Dividends

BlackRock Enhanced Government Fund

With market valuations back to expensive levels, we are looking at a number of alpha strategies in the CEF space. These include interval and term funds, relative value as well as leaning against investor flows. We highlight a number of attractive funds such as RSF, PFO, BGH and others.

Current Alpha Opportunities In The CEF Space

Flaherty & Crumrine Preferred and Income Opportunity Fund (PFO) is currently trading at a historically wide discount and provides exposure to preferred securities. The fund has adjusted its distribution in response to changes in interest rates, which had resulted in several distribution cuts over the last couple of years. PFO would work best in a lower-rate environment, but the latest payout increase shows signs of stabilization, and the significant discount makes it an appealing opportunity.

PFO: Deeply Discounted Preferred Exposure

Saba Capital Income & Opportunities Fund II

We review CEF market valuation and performance through the third week of April and highlight recent market action. Most sectors in the CEF market finished lower, except for MLPs and Utilities which registered NAV gains. We track the holdings of funds-of-CEFs like FCEF and CEFS in our CEF Tool.

CEF Weekly Review: Tracking Fund-Of-CEFs Holdings

Deutsche Strategic Municipal Income Trust

Nuveen Build America Bond Fund

Pimco Global Stockplus & Income Fund

We take a look at the shape of the current CEF sell-off. The sell-off has followed a similar pattern to previous instances, with equity funds falling more than fixed-income funds, leveraged funds underperforming and discounts widening. Longer-duration assets may become more compelling as longer-term rates rise, and investors should consider adding them to their portfolios.

Dissecting The Current CEF Sell-Off And Opportunities

PFD, PFO, FFC, FLC and DFP Announce May, June and July Dividends

Credit Suisse Asset Management Income Fund

Nuveen Variable Rate Preferred & Income Fund

We review CEF market valuation and performance through the second week of February and highlight recent market action. CEF price action was mixed, with higher-quality fixed-income sectors and interest-rate sensitive equity sectors seeing lower NAVs due to back-up in Treasury yields. CEF fees are full of pitfalls; however, getting a clear picture of fees can allow investors go generate alpha in CEF allocation.

CEF Weekly Review: CEF Fees Remain Full Of Pitfalls

Ares Dynamic Credit Allocation Fund

BlackRock 2037 Municipal Target Term Trust

Western Asset Mortgage Opportunity Fund

Nuveen Mortgage Opportunity Term Fund

Cohen & Steers Ltd. Duration Preferred & Income Fund, Inc.

Nuveen AMT-Free Municipal Value Fund

The price action in the CEF market over the last few months has been fast and furious. We revisit the key decision factors of income investing that can streamline and organize the allocation process as applied to CEFs.

Key Decision Factors For CEF Allocation In Today's Market

MFS High Yield Municipal Trust

MFS High Income Municipal Trust

MFS Investment Grade Municipal Trust

We review CEF market valuation and performance through the fourth week of January and highlight recent market action. All sectors were up for the week, with MLPs and Preferreds leading the way. Investors should be wary in taking CEF total NAV returns at face value given various conventions and data issues.

CEF Weekly Review: Take Care With Total NAV Returns

PFO is a Flaherty preferred CEF with top sector allocations in financials and a mix of investment-grade and sub-investment-grade securities. Flaherty preferred CEFs have struggled in a rate-hiking environment due to their lack of interest rate hedges. However, their headwinds are less damaging now than they have been since 2022.

PFO: Why We Waited 2 Years To Add This Preferred CEF

Carlyle Credit Income Fund

DoubleLine Income Solutions Fund

Virtus Stone Harbor Emerging Markets Income Fund 

Stone Harbor Emerging Markets Total Income Fund

John Hancock Premium Dividend Fund

PIMCO Dynamic Income Strategy Fund

We review CEF market valuation and performance through the second week of January and highlight recent market action. Most CEF sectors were up on the week, with CMBS delivering the best return. Discounts are tightening across all but one sector. CEF sector designation is not a precise endeavor, creating potential pitfalls for investors.

CEF Weekly Review: Take Care With CEF Sector Designation

PASADENA, Calif--(BUSINESS WIRE)--The Boards of Directors of Flaherty & Crumrine Preferred and Income Fund Incorporated (NYSE: PFD), Flaherty & Crumrine Preferred and Income Opportunity Fund Incorporated (NYSE: PFO), Flaherty & Crumrine Preferred and Income Securities Fund Incorporated (NYSE: FFC), Flaherty & Crumrine Total Return Fund Incorporated (NYSE: FLC) and Flaherty & Crumrine Dynamic Preferred and Income Fund Incorporated (NYSE: DFP) today announced that they have de.

PFD, PFO, FFC, FLC and DFP Announce February, March and April Dividends

Flaherty & Crumrine Preferred Income Opportunity Fund has a lower yield compared to its peers due to recent distribution cuts and high leverage. The PFO closed-end fund has performed well in recent months, outperforming the iShares preferred stock index fund. The fund's exposure to the banking sector and high leverage pose risks, and recent economic reports suggest that interest rate cuts may not be as likely as currently expected.

PFO: A Near-Term Correction Is Likely (Rating Downgrade)

PFD, PFO, FFC, FLC and DFP Announce December and January Dividends

PFD, PFO, FFC, FLC and DFP Announce November Distributions

The CEF landscape is littered with corpses of funds that have disappointed investors. We highlight one such fund - the preferred Flaherty CEF PFO - which has underperformed the sector since 2022 and delivered multiple distribution cuts. The reason for this has to do with the fund's structural features which will become less impactful over the medium term.

PFO: On The Watchlist, Not In The Garbage Can

Flaherty & Crumrine Preferred Income Opportunity Fund's share price has declined by 20.17% over the past year, more than other income-focused assets. The PFO closed-end fund's price performance may continue to disappoint due to expectations of further interest rate hikes by the Federal Reserve. The fund's heavy use of leverage and inconsistent distribution history may be concerning for conservative investors.

News for Flaherty & Crumrine Preferred Income OpportunityFund Inc ETF (PFO)