Strategy Proposes Daily Dividends on Preferred Securities
Strategy Inc., led by Michael Saylor, is pushing for daily dividends on its U.S.-listed preferred securities. The proposal affects four instruments: $STRF, $STRC, $STRK, and $STRD.
The plan would pay out dividends every calendar day, including weekends and holidays, with payments made on the next business day. This change aims to support price stability, liquidity, and demand for these preferred shares.
For STRC, the 12% rate would shift from semi-monthly to daily payouts, while STRF, STRK, and STRD move from quarterly to daily dividends. The first daily payouts are scheduled for November 1/2 for STRC and January 1/4, 2027, for the other three securities.
Strategy claims this change would reduce reinvestment lag, lower month-end price swings, and make these preferreds more comparable to money-market fund accrual cycles. It also hopes to support liquidity and demand for what it calls digital credit securities, which have become central to its model of issuing preferred stock to fund Bitcoin accumulation.