@_OnlyStocks I like to think of it like this: If a company has $1 of equity & maintains 100% ROE, they will earn $1. The next year they have equity of $2 and earnings of $2. Assuming a static market multiple the returns to the investor during that period would also be 100%.
@dirtcheapstocks Thanks for the write up! I was wondering who brought the preferred from $CZBS. I picked up some shares expecting to benefit from rising rates on their 200m of non interest bearing deposits, but this is icing on the cake.