Strategy Launches Series A Stride Preferred Stock with 10% Yield
Strategy (MSTR) has introduced the Series A Stride Preferred Stock (STRD), its third perpetual preferred instrument. Key details include:
- 10.00% non-cumulative fixed dividend
- Perpetual duration
- Positions between senior preferred (STRF) and convertible preferred (STRK) offerings
- STRD is junior in seniority but offers the highest yield among Strategy's preferred stocks
- May be repurchased under certain conditions, such as a fundamental change or tax events
- Quarterly dividends are discretionary and paid in cash when declared
STRD provides a competitive alternative to other preferred equity and high-yield bond funds with:
- 10% yield and zero management fees
- Compared to ETFs like PFF (7% yield, 0.46% fee) and USHY (8% yield, 0.08% fee)
This offering aligns with Strategy's goal of providing diversified capital structure exposures in the digital asset space.