DFP: Solid Fund But Wrong Time For Entry

  • Flaherty & Crumrine Dynamic Preferred and Income Fund offers attractive total returns from a diverse portfolio of preferred investments, with a focus on qualified dividends. DFP has shown a 15.2% total return over the past year, despite market volatility and interest rate sensitivity, making it appealing for income investors. The fund's significant leverage and high exposure to financial sectors pose risks in a high-interest-rate environment, suggesting caution before entry.