If you are at all familiar with plugging a formula into Excel, I
suggest you track your effective annual rate of return on your own,
especially when it comes to performing this calculation correctly with
The tricky part is that most return calculations require/assume
periodic dividend payments of an equal amount. While your preferred's
quarterly dividends are, in fact, a fixed amount, this is untrue for
your first and last quarter of ownership (depending on your buy and
sell date and how those dates relate to the IPO date and the
Ex-Dividend date, respectively). Sorry to be getting a bit obscure
I am an investment researcher and, several years ago, started focusing
on preferreds. I wrote a lot of research papers and a book on how to
best manage them. One of the papers is titled *Calculating Your Rate
for preferred stocks and includes the Excel cell formula for
making this calculation correctly.
This paper is being given away for free at
www.PreferredStockInvesting.com; click on the *How Did CDx3 Investors
Do Last Month*
button in the upper right of the screen. I think this
document will provide you with a way of correctly making the
calculation that you're after.
Many Happy Returns.