Digital Realty Trust is closing on a new preferred issue, its Series L, on October 10th. Its dividend rate is lower than the Series K introduced in March.
Even though two payments have already been made on the Series K, at first glance, it may appear this older issue is a better investment than the new.
But, extrapolating hypothetical investment cases for these preferred shares and the common shares results in a telling comparison.
As my investment club considers a reinvestment in Digital Realty Trust, a split allocation may serve us well.
My investment club uses the shoes in our closets as an analogy for our investing decisions. Some pairs are keepers – reliable and comfortable. Others may need a little attention - a good polishing. Still