BHFAN

Brighthouse Financial, Inc. Depositary Shares Series N represent fractional interests in the company's preferred stock, with each depositary share representing a 1/1,000th interest in a share of Series N preferred stock. This fractional structure enables broader investor access by reducing the per-unit price compared to whole preferred shares. Series N preferred stock occupies a position senior to common stock but junior to all debt in Brighthouse Financial's capital structure, providing priority for dividend payments and liquidation proceeds over common equity. The Series N preferred shares carry a fixed dividend rate paid quarterly, providing income-focused investors with predictable cash flows. Preferred dividends must be paid before any dividends can be distributed to common shareholders, offering income priority. While preferred shareholders typically have no voting rights in ordinary circumstances, they may gain voting rights if dividends fall into arrears or under certain corporate actions affecting their rights. The securities are perpetual instruments with no maturity date, though Brighthouse may retain the right to redeem them after an initial non-call period at its option. Series N depositary shares appeal to investors seeking stable income, seniority over common equity, and exposure to Brighthouse Financial's diversified insurance and annuity business. The securities' credit quality depends on Brighthouse's financial strength, including capital adequacy, underwriting discipline, investment portfolio quality, effectiveness of hedging strategies for variable annuity guarantees, and overall enterprise risk management. Preferred share valuations are sensitive to interest rate movements (inverse relationship), credit spreads reflecting Brighthouse's perceived financial health, and general capital markets conditions. Investors should understand both insurance industry-specific risks (including market risk on guarantees, longevity assumptions, and regulatory requirements) and preferred stock characteristics (including interest rate sensitivity, call risk, and subordination to debt while ranking senior to common equity).