Preferred shares of Bank of America (BAC) represent a class of ownership that offers a number of advantages over common stock, including a higher dividend yield and priority in the event of a liquidation. Preferred shares also typically have a lower risk profile than common stock, making them an appealing option for investors seeking income and capital preservation.
There are several ways to buy preferred shares of BAC. One option is to purchase them through a broker. Another option is to buy them directly from the company through a direct stock purchase plan (DSPP). DSPPs allow investors to buy shares of a company’s stock directly from the company itself, often at a discount to the market price. Some DSPPs also offer the option to have dividends automatically reinvested in additional shares.