Warning: The analyst who wrote this piece has shares of microstrategy (MSTR).
To say that Microstrategy (MSTR) was at the head of the creative capital with which to buy massive quantities of Bitcoin (BTC) would be an understatement. Led by the executive president Michael Saylor, the company opened this week a new front in this direction with its privileged perpetual stock offer (Strk).
The privileged actions are between equity and debt on the balance sheet of companies, offering investors the regular performance of obligations while giving them participation in a company.
The well -followed microstrate analyst Ben Werkman, displayed on X about attraction, privileged actions can offer institutional investors because of his lack of risk of maturity, stable yield and an increase in optional equity .
“I could see a scenario where [the preferred stock] Starts to take part of the convertible bond space for the accumulation of fixed income securities due to the lack of risk of maturity of time, “said Werkman.” The favorite stock has the potential to be massively more accred [share sales]. “”
Similar feelings have come via Jeff Park, responsible for Alpha strategies at Bitwise Investments, who called MSTR’s privileged actions offering one of the most convincing titles on the market and a new generation investment vehicle.
“Strk is an almost perfect instrument,” said Park. “It gives you two chances of winning: first, when the rates drop, it’s a huge boon for the main one, and two, if Microstrategy goes up first, then you have a deep option in the currency (ITM) To convert and have the higher volatility asset or simply sell directly.
The largest of the ETF of privileged American actions is the BlackRock Ishares Preferred and Revenue Securities ETF (PFF), which contains about 15 billion dollars in assets under management. The biggest holders of PFF ETF are large companies such as Boeing (BA), Wells Fargo (WFC) and Citi Group (C).
The final pricing conditions of the new security must be completed and announced after closing the market on Thursday.
