Flaherty & Crumrine Preferred Income Fund Incorporated (the Fund) is a diversified, closed-end management investment company. The Fund's investment objective is to provide its common shareholders with high current income consistent with the preservation of capital. The Fund invests primarily in traditional preferred stocks eligible for the inter-corporate dividends received deduction (DRD) and taxable preferred securities. It invests at least 80% of net assets in preferred securities. Also, the Fund invests at least 25% of its total assets in the financial sector, which for this purpose is part of the bank, thrifts and mortgage finance, diversified financial services, consumer finance, asset management and custody, investment banking and brokerage, and real estate investment trusts (REIT) industries, among others. It may invest up to 25% of its assets at the time of purchase in securities rated below investment grade. Flaherty & Crumrine Incorporated is the Fund's investment advisor.