SCHEDULE 14A
                                 PROXY STATEMENT

        PURSUANT TO SECTION 14(A) OF THE SECURITIES EXCHANGE ACT OF 1934

Filed by Registrant [X]
Filed by Party other than the Registrant

Check the appropriate box:
[ ] Preliminary Proxy Statement

[ ] Confidential for Use of the Commission Only as permitted by Rule 14a-6(e)(2)
[X] Definitive Proxy Statement
[ ] Definitive Additional Materials
[ ] Soliciting Material Pursuant to Rule 14a-11c or Rule 14a-12

   FLAHERTY & CRUMRINE/CLAYMORE PREFERRED SECURITIES INCOME FUND INCORPORATED
                (Name of Registrant as Specified in Its Charter)

                     ---------------------------------------
                   (Name of Person(s) Filing Proxy Statement)

Payment of Filing Fee (Check the appropriate box):

[X] No fee required

[ ] Fee computed on table below per Exchange Act Rules 14a-6(i)(1) and 0-11

(1)  Title of each class of securities to which transaction applies:____________
(2)  Aggregate  number of  securities to which transaction applies: ____________

(3)  Per unit price or other underlying value of transaction  computed  pursuant
     to Exchange Act Rule 0-11. (Set forth the amount on which the filing fee is
     calculated and state how it was
     determined):_______________________________________________________________
(4)  Proposed maximum aggregate value of transaction:___________________________
(5)  Total   fee  paid:_________________________________________________________

[ ] Fee paid previously with preliminary materials.

[ ] Check box if any part of the fee is offset as provided by Exchange  Act Rule
0-11(a)(2)  and  identify  the  filing  for  which the  offsetting  fee was paid
previously.  Identify the previous filing by registration  statement  number, or
the Form or Schedule and the date of its filing.

(1)  Amount previously paid:____________________________________________________
(2)  Form, Schedule or Registration Statement No.:______________________________
(3)  Filing Party: _____________________________________________________________
(4)  Date Filed: _______________________________________________________________




   FLAHERTY & CRUMRINE/CLAYMORE PREFERRED SECURITIES INCOME FUND INCORPORATED
                                   (NYSE: FFC)
     FLAHERTY & CRUMRINE/CLAYMORE TOTAL RETURN FUND INCORPORATED (NYSE: FLC)
                      301 E. Colorado Boulevard, Suite 720
                           Pasadena, California 91101

                    NOTICE OF ANNUAL MEETINGS OF SHAREHOLDERS
                          To Be Held on April 20, 2007

To the Shareholders:

         Notice is hereby  given that the Annual  Meetings  of  Shareholders  of
Flaherty & Crumrine/Claymore   Preferred  Securities  Income  Fund  Incorporated
("Preferred  Securities  Income Fund" or "FFC") and Flaherty & Crumrine/Claymore
Total  Return Fund  Incorporated  ("Total  Return Fund" or "FLC") (each a "Fund"
and, collectively,  the "Funds"),  each a Maryland corporation,  will be held at
the offices of Willkie Farr & Gallagher LLP, 787 Seventh Avenue, Conference Room
45A,  New York,  New York  10019 at 8:30 a.m.  ET,  on April 20,  2007,  for the
following purposes:

         1. To elect Directors of each Fund (PROPOSAL 1).

         2. To  transact  such other  business as may  properly  come before the
            Annual Meetings or any adjournments thereof.

         YOUR VOTE IS IMPORTANT!

         The  proposal set forth in this proxy  statement  is a routine  item. A
routine item is one which occurs  annually and makes no  fundamental or material
changes to a fund's investment objectives,  policies or restrictions,  or to the
investment management contracts.

         The Board of  Directors of each Fund has fixed the close of business on
January 26, 2007 as the record date for the  determination  of  shareholders  of
each Fund entitled to notice of and to vote at the Annual Meetings.


                                            By Order of the Boards of Directors,



February 16, 2007                           CHAD C. CONWELL
                                            SECRETARY



--------------------------------------------------------------------------------
SEPARATE  PROXY  CARDS  ARE  ENCLOSED  FOR EACH  FUND IN WHICH  YOU OWN  SHARES.
SHAREHOLDERS  WHO DO NOT EXPECT TO ATTEND THE ANNUAL  MEETINGS ARE  REQUESTED TO
COMPLETE,  SIGN AND DATE THE ENCLOSED PROXY CARD(S). THE PROXY CARD(S) SHOULD BE
RETURNED  IN THE  ENCLOSED  ENVELOPE,  WHICH  NEEDS NO  POSTAGE IF MAILED IN THE
CONTINENTAL UNITED STATES.  INSTRUCTIONS FOR THE PROPER EXECUTION OF PROXIES ARE
SET FORTH ON THE INSIDE COVER.
--------------------------------------------------------------------------------



                      INSTRUCTIONS FOR SIGNING PROXY CARDS

         The  following  general  rules  for  signing  proxy  cards  may  be  of
assistance to you and may avoid the time and expense to the Fund(s)  involved in
validating your vote if you fail to sign your proxy card(s) properly.

         1.  Individual  Accounts:  Sign your name  exactly as it appears in the
registration on the proxy card(s).

         2. Joint  Accounts:  Either  party may sign,  but the name of the party
signing should conform exactly to a name shown in the registration.

         3. All Other Accounts: The capacity of the individual signing the proxy
card should be indicated unless it is reflected in the form of registration. For
example:

  REGISTRATION                                      VALID SIGNATURE

  CORPORATE ACCOUNTS

  (1)      ABC Corp.                                ABC Corp.
  (2)      ABC Corp.                                John Doe, Treasurer
  (3)      ABC Corp. c/o John Doe, Treasurer        John Doe
  (4)      ABC Corp. Profit Sharing Plan            John Doe, Trustee

  TRUST ACCOUNTS

  (1)      ABC Trust                                Jane B. Doe, Trustee
  (2)      Jane B. Doe, Trustee                     Jane B. Doe
           u/t/d 12/28/78

  CUSTODIAN OR ESTATE ACCOUNTS

  (1)      John B. Smith, Cust.,                    John B. Smith
           f/b/o John B. Smith, Jr. UGMA
  (2)      John B. Smith, Executor,                 John B. Smith, Jr., Executor
           estate of Jane Smith



   FLAHERTY & CRUMRINE/CLAYMORE PREFERRED SECURITIES INCOME FUND INCORPORATED
                                   (NYSE: FFC)
     FLAHERTY & CRUMRINE/CLAYMORE TOTAL RETURN FUND INCORPORATED (NYSE: FLC)

                      301 E. Colorado Boulevard, Suite 720
                           Pasadena, California 91101

                         ANNUAL MEETINGS OF SHAREHOLDERS
                                 April 20, 2007

                              JOINT PROXY STATEMENT

         This document is a joint proxy statement  ("Joint Proxy Statement") for
Flaherty & Crumrine/Claymore   Preferred  Securities  Income  Fund  Incorporated
("PREFERRED  SECURITIES  INCOME FUND" OR "FFC") and Flaherty & Crumrine/Claymore
Total  Return Fund  Incorporated  ("TOTAL  RETURN FUND" OR "FLC") (EACH A "FUND"
AND,  COLLECTIVELY,  THE  "FUNDS").  This Joint Proxy  Statement is furnished in
connection  with the  solicitation  of proxies by each Fund's Board of Directors
(each a "Board" and collectively, the "Boards") for use at the Annual Meeting of
Shareholders  of each Fund to be held on April  20,  2007,  at 8:30 a.m.  at the
offices of Willkie Farr & Gallagher  LLP, 787 Seventh  Avenue,  Conference  Room
45A, New York, New York 10019 and at any adjournments  thereof (each a "Meeting"
and collectively,  the "Meetings").  A Notice of Annual Meetings of Shareholders
and proxy card for each Fund of which you are a shareholder accompany this Joint
Proxy  Statement.  Proxy  solicitations  will be  made,  beginning  on or  about
February 16, 2007,  primarily by mail, but proxy  solicitations may also be made
by telephone, telefax or personal interviews conducted by officers of each Fund,
Flaherty & Crumrine Incorporated  ("Flaherty & Crumrine" or the "Adviser"),  the
investment  adviser of each Fund,  Claymore  Securities,  Inc.  (the  "Servicing
Agent"), the servicing agent of each Fund, and PFPC Inc., the transfer agent and
administrator  of each Fund and a member of The PNC  Financial  Services  Group,
Inc. The costs of proxy  solicitation  and expenses  incurred in connection with
the  preparation of this Joint Proxy Statement and its enclosures will be shared
proportionally by the Funds.  Each Fund also will reimburse  brokerage firms and
others for their expenses in forwarding  solicitation material to the beneficial
owners of its  shares.  This proxy  statement  and form of proxy are first being
sent to shareholders on or about February 16, 2007.

         THE ANNUAL REPORT OF EACH FUND,  INCLUDING AUDITED FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED NOVEMBER 30, 2006, IS AVAILABLE UPON REQUEST,  WITHOUT
CHARGE, BY WRITING TO PFPC INC., P.O. BOX 43027, PROVIDENCE,  RI 02940-3027,  OR
CALLING  1-800-331-1710.  EACH FUND'S  ANNUAL  REPORT IS ALSO  AVAILABLE  ON THE
FUNDS' WEBSITE  (WWW.FCCLAYMORE.COM),  THE SECURITIES AND EXCHANGE  COMMISSION'S
("SEC")  WEBSITE  (WWW.SEC.GOV),  OR BY CALLING  CLAYMORE  SECURITIES,  INC.  AT
1-866-233-4001.

         If the enclosed proxy card is properly executed and returned in time to
be voted at the  relevant  Meeting,  the Shares (as defined  below)  represented
thereby will be voted in accordance with the instructions marked thereon. Unless
instructions to the contrary are marked thereon, a proxy will be voted "FOR" the
election of the nominees for Director. Any shareholder who has given a proxy has
the right to revoke it at any time prior to its exercise either by attending the
relevant  Meeting  and  voting his or her  Shares in person or by  submitting  a
letter of revocation or a later-dated proxy to the appropriate Fund delivered at
the above address prior to the date of the Meeting.

         In the event that a quorum is not present at a Meeting, or in the event
that a quorum is present but  sufficient  votes to approve any of the  proposals
are  not  received,  the  persons  named  as  proxies  may  propose  one or more
adjournments of the Meeting to permit further  solicitation of proxies. Any such
adjournment  will  require the  affirmative  vote of a majority of those  shares
represented  at the Meeting in person or by proxy.  If a quorum is present,  the
persons named as proxies will vote those proxies which they are entitled to vote
"FOR" a proposal in favor of such an  adjournment  with respect to that proposal
and will vote those proxies  required to be voted  "AGAINST" a proposal  against
any such  adjournment  with respect to that proposal.  A shareholder vote may be
taken on a proposal in the Joint Proxy Statement  prior to any such  adjournment
if sufficient votes have been received for approval of that proposal.  Under the
Bylaws of each Fund,  a quorum is  constituted  by the  presence in person or by
proxy  of the  holders  of a  majority  of the  outstanding  shares  of the Fund
entitled to vote at the  Meeting.  If a proposal is to be voted upon by only one
class of a Fund's  shares,  a quorum of that class of shares  must be present at
the Meeting in order for the proposal to be considered.

         Each Fund has two classes of capital  stock:  common  stock,  par value
$0.01 per share (the "Common  Stock");  and Auction Market  Preferred Stock, par
value $0.01 per share  ("AMPS";  together with the Common Stock,  the "Shares").
Each Share is entitled to one vote at the Meeting  with respect to matters to be
voted on by the class to which such Share  belongs,  with pro rata voting rights
for any fractional  Shares. On the record date,  January 26, 2007, the following
number of Shares of each Fund were issued and outstanding:

                                       1






                                                                 COMMON STOCK                           AMPS
         NAME OF FUND                                             OUTSTANDING                        OUTSTANDING
                                                                                           
         Preferred Securities Income Fund (FFC)                    42,601,719                    Series M7   -  3,200
                                                                                                 Series T7   -  3,200
                                                                                                 Series W7   -  3,200
                                                                                                 Series Th7  -  3,200
                                                                                                 Series F7   -  3,200
                                                                                                 Series T28  -  2,840
                                                                                                 Series W28  -  2,840

         Total Return Fund (FLC)                                    9,776,333                    Series T7   -  2,570
                                                                                                 Series W28  -  2,570


         To  the   knowledge  of  each  Fund  and  its  Board,   the   following
shareholder(s)  or  "group",  as that term is defined  in  Section  13(d) of the
Securities  Exchange Act of 1934 (the "1934 Act"),  is the  beneficial  owner or
owner of record of more than 5% of the relevant Fund's  outstanding shares as of
January 26, 2007*:




         NAME AND ADDRESS OF BENEFICIAL/                                  AMOUNT AND NATURE
         RECORD OWNER                               TITLE OF CLASS          OF OWNERSHIP               PERCENT OF CLASS
                                                                                                    
         Cede & Co.**                                 Common         FFC - 42,519,693                        99.81%
         Depository Trust Company                      Stock         (record)
         55 Water Street, 25th Floor                                 FLC - 9,761,947                         99.85%
         New York, NY                                                (record)
         10041
                                                       AMPS          FFC -
                                                                     Series M7  - 3,200 (record)               100%
                                                                     Series T7  - 3,200 (record)               100%
                                                                     Series W7  - 3,200 (record)               100%
                                                                     Series Th7 - 3,200 (record)               100%
                                                                     Series F7  - 3,200 (record)               100%
                                                                     Series T28 - 2,840 (record)               100%
                                                                     Series W28 - 2,840 (record)               100%
                                                                     FLC -
                                                                     Series T7  - 2,570 (record)               100%
                                                                     Series W28 - 2,570 (record)               100%

------------------
*        As of January 26, 2007, the Directors and officers, as a  group,  owned
         less than 1% of each class of Shares of each Fund.
**       A nominee partnership of The Depository Trust Company.



         This  Joint  Proxy  Statement  is being  used in order  to  reduce  the
preparation,  printing, handling and postage expenses that would result from the
use of a separate proxy statement for each Fund.  Shareholders of each Fund will
vote as a single  class  except  as  described  under  Proposal  1 and will vote
separately  for each of FFC and FLC on each  proposal on which  shareholders  of
that Fund are entitled to vote.  Separate proxy cards are enclosed for each Fund
in which a  shareholder  is a record  owner of Shares.  Thus,  if a proposal  is
approved by  shareholders  of one Fund and not approved by  shareholders  of the
other Fund,  the proposal  will be  implemented  for the Fund that  approved the
proposal  and will not be  implemented  for the Fund  that did not  approve  the
proposal.  It is therefore essential that shareholders  complete,  date and sign
EACH enclosed proxy card.  SHAREHOLDERS OF EACH FUND ARE ENTITLED TO VOTE ON THE
PROPOSALS PERTAINING TO THAT FUND.

         In order that your Shares may be represented  at the Meetings,  you are
requested to vote on the following matters:

                   SUMMARY OF VOTING RIGHTS ON PROXY PROPOSALS

PREFERRED SECURITIES FUND (FFC)
--------------------------------------------------------------------------------
    PROPOSAL               COMMON STOCK SHAREHOLDERS           AMPS SHAREHOLDERS
--------------------------------------------------------------------------------
1. Election of Directors   Common Stock Shareholders      AMPS Shareholders as a
                           as a single class elect one    single class elect one
                           Director: Robert F. Wulf       Director: Donald F.
                                                          Crumrine
--------------------------------------------------------------------------------
2. Other Business          Common Stock and AMPS Shareholders,  voting together
                           as a single class
--------------------------------------------------------------------------------

                                       2



                   SUMMARY OF VOTING RIGHTS ON PROXY PROPOSALS

TOTAL RETURN FUND (FLC)
--------------------------------------------------------------------------------
PROPOSAL                      COMMON STOCK SHAREHOLDERS     AMPS SHAREHOLDERS
--------------------------------------------------------------------------------
1. Election  of  Directors    Common Stock Shareholders    AMPS Shareholders as
                              as a single class elect      a class elect one
                              one Director: Robert F. Wulf Director: Donald F.
                                                           Crumrine
--------------------------------------------------------------------------------
2. Other Business             Common Stock and AMPS Shareholders, voting
                              together as a single class
--------------------------------------------------------------------------------
                        PROPOSAL 1: ELECTION OF DIRECTORS

         At the Meetings,  shareholders are being asked to consider the election
of Directors of each Fund. The Board of each Fund is divided into three classes,
each  class  having a term of three  years.  Each year the term of office of one
class expires and the successor or successors  elected to such class serve for a
three-year term and until their successors are duly elected and qualified.

NOMINEES FOR THE BOARD OF DIRECTORS

         Each  nominee  named  below has  consented  to serve as a  Director  if
elected at the relevant Meeting.  If a designated  nominee declines or otherwise
becomes unavailable for election, however, the proxy confers discretionary power
on the  persons  named  therein  to vote in favor  of a  substitute  nominee  or
nominees.

         Mr.  Crumrine and Mr.  Wulf,  each a Class III Director of FFC and FLC,
have each been  nominated  for a  three-year  term to expire at each Fund's 2010
Annual Meeting of Shareholders  and until their  successors are duly elected and
qualified.

         Under each Fund's Articles of Incorporation, Articles Supplementary and
the  Investment  Company Act of 1940,  as amended (the "1940  Act"),  holders of
AMPS, voting as a single class, are entitled to elect two Directors, and holders
of the Common  Stock are  entitled to elect the  remaining  Directors.  However,
subject  to the  provisions  of  the  1940  Act  and  each  Fund's  Articles  of
Incorporation,  the holders of AMPS,  when dividends are in arrears for two full
years,  are able to elect the minimum number of additional  Directors that, when
combined with the two Directors  elected by the holders of AMPS,  would give the
holders of AMPS a majority of the Directors.  David Gale and Karen H. Hogan,  as
Directors, currently represent holders of AMPS of each Fund. Donald F. Crumrine,
as a  Director  of each  Fund,  has been  nominated  by each  Fund's  Board as a
Director to  represent  each Fund's  holders of AMPS (to  replace Mr.  Gale).  A
quorum of the AMPS  shareholders  must be present at the Meeting of each Fund in
order for the proposal to elect Mr. Crumrine to be considered.

                       FUND (CLASS)                    NOMINEE(S) FOR DIRECTOR

                     FFC (Common Stock)                         Wulf

                     FFC (AMPS)                               Crumrine

                     FLC (Common Stock)                         Wulf

                     FLC (AMPS)                               Crumrine

INFORMATION ABOUT DIRECTORS AND OFFICERS

         Set forth in the table below are the  existing  Directors  and nominees
for  election to the Boards of  Directors  of the Funds,  including  information
relating to their respective positions held with each Fund, a brief statement of
their principal  occupations during the past five years and other directorships,
if any.

                                       3





                                                                                          NUMBER OF
                                                                        PRINCIPAL          FUNDS IN           OTHER
                                CURRENT         TERM OF OFFICE         OCCUPATION(S)     FUND COMPLEX     DIRECTORSHIPS
NAME, ADDRESS,                 POSITION(S)       AND LENGTH OF          DURING PAST       OVERSEEN           HELD BY
AND AGE                      HELD WITH FUNDS      TIME SERVED*           FIVE YEARS      BY DIRECTOR**      DIRECTOR
-------                      ---------------      ------------           ----------      -------------      --------
                                                                                        
NON-INTERESTED
DIRECTORS:
----------

DAVID GALE (1)                 Director         Class I Director         President and CEO        4           Metromedia
Delta Dividend Group, Inc.                    FFC - since inception     of Delta Dividend              International Group, Inc.
220 Montgomery Street,                        FLC - since inception        Group, Inc.                   (telecommunications);
Suite 426                                                                  (investments)                 Flaherty & Crumrine
San Francisco, CA 94104                                                                                    Preferred Income
Age: 57                                                                                                   Fund Incorporated
                                                                                                       and Flaherty & Crumrine
                                                                                                           Preferred Income
                                                                                                           Opportunity Fund
                                                                                                             Incorporated

MORGAN GUST                    Director        Class II Director         Since March 2002,        4          CoBiz, Inc.
301 E. Colorado Boulevard                     FFC - since inception     President of Giant               (financial services)
Suite 720                                     FLC - since inception      Industries, Inc.                Flaherty & Crumrine
Pasadena, CA 91101                                                      (petroleum refining                Preferred Income
Age: 59                                                             and marketing) since March            Fund Incorporated
                                                                   2002 and, for more than five        and Flaherty & Crumrine
                                                                       years prior thereto,                Preferred Income
                                                                     Executive Vice President,             Opportunity Fund
                                                                      and various other Vice                 Incorporated
                                                                      President positions at
                                                                      Giant Industries, Inc.

KAREN H. HOGAN (1)             Director         Class II Director       Retired; Community        4      Flaherty & Crumrine
301 E. Colorado Boulevard                       FFC - Since 2005       Volunteer; From Sept                Preferred Income
Suite 720                                       FLC - Since 2005         1985 to Jan 1997,                Fund Incorporated
Pasadena, CA 91101                                                   Senior Vice President of          and Flaherty & Crumrine
Age: 45                                                             Preferred Stock Origination            Preferred Income
                                                                      at Lehman Brothers and,              Opportunity Fund
                                                                   previously Vice President of              Incorporated
                                                                      New Product Development


ROBERT F. WULF                 Director        Class III Director     Financial Consultant;       4      Flaherty & Crumrine
P.O. Box 753                                  FFC - since inception   Trustee, University of               Preferred Income
Neskowin, OR 97149                            FLC - since inception     Oregon Foundation;                 Fund Incorporated
Age: 69                                                               Trustee, San Francisco           and Flaherty & Crumrine
                                                                       Theological Seminary                Preferred Income
                                                                                                           Opportunity Fund
                                                                                                              Incorporated


INTERESTED
DIRECTOR:
---------

DONALD F. CRUMRINE (2), (3)   Director,        Class III Director     Chairman of the Board       4      Flaherty & Crumrine
301 E. Colorado Boulevard      Chairman       FFC - since inception       and Director of                  Preferred Income
Suite 720                    of the Board     FLC - since inception     Flaherty & Crumrine               Fund Incorporated
Pasadena, CA 91101            and Chief                                    Incorporated                and Flaherty & Crumrine
Age: 59                       Executive                                                                    Preferred Income
                                Officer                                                                    Opportunity Fund
                                                                                                             Incorporated


                                       4





                                                                                              NUMBER OF
                                                                        PRINCIPAL              FUNDS IN           OTHER
                                CURRENT         TERM OF OFFICE         OCCUPATION(S)         FUND COMPLEX     DIRECTORSHIPS
NAME, ADDRESS,                 POSITION(S)       AND LENGTH OF          DURING PAST           OVERSEEN           HELD BY
AND AGE                      HELD WITH FUNDS      TIME SERVED*           FIVE YEARS          BY DIRECTOR**      DIRECTOR
-------                      ---------------      ------------           ----------          -------------      --------
                                                                                                      
OFFICERS:
---------

ROBERT M. ETTINGER               President       FFC - since inception  President and Director      N/A              N/A
301 E. Colorado Boulevard                        FLC - since inception       of Flaherty
Suite 720                                                                     & Crumrine
Pasadena, CA 91101                                                           Incorporated
Age: 48

R. ERIC CHADWICK              Chief Financial    FFC - since inception  Director of Flaherty &      N/A              N/A
301 E. Colorado Boulevard      Officer, Vice     FFC - since inception   Crumrine Incorporated
Suite 720                      President and                            since June 2006; Vice
Pasadena, CA  91101              Treasurer                              President of Flaherty
Age: 31                                                                       & Crumrine
                                                                          Incorporated since
                                                                           August 2001; and
                                                                          previously (since
                                                                       January 1999) portfolio
                                                                        manager of Flaherty &
                                                                         Crumrine Incorporated

CHAD C. CONWELL                   Chief            FFC - since 2005    Chief Compliance Officer     N/A              N/A
301 E. Colorado Boulevard       Compliance         FLC - since 2005     of Flaherty & Crumrine
Suite 720                        Officer,                                 Incorporated since
Pasadena, CA 91101            Vice President                               September 2005,
Age: 34                       and Secretary                           Vice President of Flaherty
                                                                        & Crumrine Incorporated
                                                                           since July 2005;
                                                                        from September 1998 to
                                                                       June 2005, Attorney with
                                                                       Paul, Hastings, Janofsky
                                                                             & Walker LLP

BRADFORD S. STONE              Vice President     FFC - since 2003     Director of Flaherty &       N/A              N/A
392 Springfield Avenue          and Assistant   FLC - since inception  Crumrine Incorporated
Mezzanine Suite                   Treasurer                            since June 2006; Vice
Summit, NJ 07901                                                      President of Flaherty &
Age: 47                                                             Crumrine Incorporated since
                                                                      May 2003; from June 2001
                                                                       to April 2003, Director
                                                                       of USMarket Strategy at
                                                                          Barclays Capital


                                       5





                                                                                              NUMBER OF
                                                                        PRINCIPAL              FUNDS IN           OTHER
                                CURRENT         TERM OF OFFICE         OCCUPATION(S)         FUND COMPLEX     DIRECTORSHIPS
NAME, ADDRESS,                 POSITION(S)       AND LENGTH OF          DURING PAST           OVERSEEN           HELD BY
AND AGE                      HELD WITH FUNDS      TIME SERVED*           FIVE YEARS          BY DIRECTOR**      DIRECTOR
-------                      ---------------      ------------           ----------          -------------      --------
                                                                                                      
OFFICERS:
---------

NICHOLAS DALMASO               Vice President   FFC - since inception   Director of Claymore        N/A              N/A
2455 Corporate West Drive       and Assistant   FLC - since inception     Group, LLC since
Lisle, IL 60532                   Secretary                                 January 2002;
Age: 42                                                                   Senior Managing
                                                                            Director and
                                                                         General Counsel of
                                                                        Claymore Securities,
                                                                         Inc. since November
                                                                          2001 and Claymore
                                                                         Advisers, LLC since
                                                                        October 2003; Partner
                                                                       of DBN Group, LLC since
                                                                        April 2001; Assistant
                                                                         General Counsel of
                                                                         Nuveen Investments
                                                                       from July 1999 through
                                                                           November 2001.

CHRISTOPHER D. RYAN            Vice President     FFC - since 2005       Vice President of          N/A              N/A
301 E. Colorado Boulevard                         FLC - since 2005       Flaherty & Crumrine
Suite 720                                                            Incorporated since February
Pasadena, CA 91101                                                    2004; from October 2002
Age: 39                                                                  to February 2004,
                                                                   Product Analyst of Flaherty &
                                                                       Crumrine Incorporated;
                                                                      from 1999 through 2002,
                                                                          graduate student

LAURIE C. LODOLO                  Assistant       FFC - since 2004      Assistant Compliance        N/A              N/A
301 E. Colorado Boulevard        Compliance       FLC - since 2004     Officer of Flaherty &
Suite 720                    Officer, Assistant                        Crumrine Incorporated
Pasadena, CA 91101              Treasurer and                            since August 2004;
Age: 43                      Assistant Secretary                       since February 2004,
                                                                        Secretary of Flaherty &
                                                                        Crumrine Incorporated;
                                                                         since January 1987
                                                                        Account Administrator of
                                                                        Flaherty & Crumrine
                                                                             Incorporated

--------------------
*        The  Class  III  Directors  of each  Fund  have  been  nominated  for a
         three-year  term to  expire  at each  Fund's  2010  Annual  Meeting  of
         Shareholders  and until their sucessors are duly elected and qualified.
         The Class  IDirector  of each Fund will serve  until each  Fund's  2008
         Annual Meeting of Shareholders  and until his successor is duly elected
         and qualifed. The Class II Directors of each Fund will serve until each
         Fund's 2009 Annual Meeting of Shareholders  and until their  successors
         are duly elected and qualified.
**       The funds in the fund complex are: Flaherty & Crumrine Preferred Income
         Fund  Incorporated,  Flaherty & Crumrine  Preferred Income  Opportunity
         Fund Incorporated,  Flaherty & Crumrine/Claymore  Preferred  Securities
         Income Fund Incorporated and Flaherty & Crumrine/Claymore  Total Return
         Fund Incorporated (together, the "Flaherty & Crumrine Fund Family").
(1)      As a Director,  currently  represents  holders of AMPS. If Mr. Crumrine
         is elected, Mr. Gale will continue to be a Director, but will no longer
         represent holders of AMPS.
(2)      As a Director, nominated to represent holders of AMPS.
(3)      "Interested  person"  of the  Funds as  defined  in the 1940  Act.  Mr.
         Crumrine  is  considered  an   "interested   person"   because  of  his
         affiliation  with  Flaherty  &Crumrine,   which  acts  as  each  Fund's
         investment  adviser.



                                       6



BENEFICIAL OWNERSHIP OF SHARES IN FUNDS AND FUND COMPLEX FOR EACH DIRECTOR AND
NOMINEE FOR ELECTION AS DIRECTOR

         Set forth in the table below is the dollar  range of equity  securities
in each Fund and the aggregate dollar range of equity securities in the Flaherty
& Crumrine Fund Family beneficially owned by each Director.



                                                                                          AGGREGATE DOLLAR RANGE OF EQUITY
                                                                                       SECURITIES IN ALL REGISTERED INVESTMENT
                                                        DOLLAR RANGE OF EQUITY           COMPANIES OVERSEEN BY DIRECTOR IN
NAME OF DIRECTOR                                    SECURITIES HELD IN FUND* (1)(2)      FAMILY OF INVESTMENT COMPANIES* (3)
----------------------------------------------------------------------------------------------------------------------------
                                                                                               
                                                      FFC                     FLC                       TOTAL
NON-INTERESTED DIRECTORS:

David Gale                                             C                       C                          E

Morgan Gust                                            C                       C                          E

Karen H. Hogan                                         A                       A                          A

Robert F. Wulf                                         C                       C                          D

INTERESTED DIRECTORS:

Donald F. Crumrine                                    E(4)                   E(4)                       E(4)

-------------------
*        Key to Dollar Ranges
A.       None
B.       $1 - $10,000
C.       $10,001 -$50,000
D.       $50,001 - $100,000
E.       over $100,000
         All shares were valued as of January 26, 2007.
(1)      No Director or officer of the Funds owned any shares of AMPS on January
         26, 2007.
(2)      This  information has been furnished by each Director as of January 26,
         2007.  "Beneficial  Ownership" is  determined  in accordance  with Rule
         16a-1(a)(2) of the 1934 Act.
(3)      As a group, less than 1%.
(4)      Includes shares of FFC and FLC held by Flaherty & Crumrine Incorporated
         of which the reporting  person is a shareholder and director.



         Each  Director of each Fund who is not a director,  officer or employee
of Flaherty & Crumrine Incorporated or any of their affiliates receives for each
Fund a fee of $9,000 per annum plus $500 for each  in-person  meeting  attended,
and $150 for each telephone meeting attended.  In addition,  the Audit Committee
Chairman  receives an annual fee per Fund of $2,500.  Each Director of each Fund
is reimbursed for travel and  out-of-pocket  expenses  associated with attending
Board and committee meetings.  The Board of Directors of FFC held seven meetings
(three  of which  were  held by  telephone  conference  call)  and the  Board of
Directors  of FLC held seven  meetings  (three of which  were held by  telephone
conference  call)  during the fiscal  year ended  November  30,  2006,  and each
Director of each Fund then serving in such capacity attended at least 75% of the
meetings  of  Directors  and of any  Committee  of  which  he is a  member.  The
aggregate  remuneration  paid to the  Directors of each Fund for the fiscal year
ended November 30, 2006 is set forth below:

--------------------------------------------------------------------------------
                                         BOARD MEETING           TRAVEL AND
                     ANNUAL                   AND               OUT-OF-POCKET
                 DIRECTORS FEES     COMMITTEE MEETING FEES        EXPENSES*
--------------------------------------------------------------------------------
 FFC                 $36,000                $25,800                 $4,814
 FLC                 $36,000                $25,800                 $4,656
--------------------------------------------------------------------------------
--------------
 *   Includes  reimbursement  for travel  and  out-of-pocket  expenses  for both
     "interested" and "non-interested" Directors ("Independent Directors").

AUDIT COMMITTEE REPORT

         The role of each  Fund's  Audit  Committee  is to  assist  the Board of
Directors  in its  oversight  of (i)  the  integrity  of each  Fund's  financial
statements and the independent  audit thereof;  (ii) each Fund's  accounting and
financial  reporting  policies  and  practices,  its internal  controls  and, as
appropriate,  the internal  controls of certain  service  providers;  (iii) each
Fund's  compliance  with  legal  and  regulatory  requirements;   and  (iv)  the
independent auditor's qualifications, independence and performance. In addition,
pursuant to each Fund's

                                       7



Audit  Committee  Charter,  each  Fund's  Audit  Committee  is  also required to
prepare an audit committee report pursuant to the rules of the SEC for inclusion
in each Fund's annual proxy statement. Each Audit Committee operates pursuant to
a Charter that was most recently reviewed and approved by the Board of Directors
of each Fund on January 23, 2007 and which is  available  on the Funds'  website
(www.fcclaymore.com). As set forth in the Charter, management is responsible for
(i)  the  preparation,  presentation  and  integrity  of each  Fund's  financial
statements,  (ii)  the  maintenance  of  appropriate  accounting  and  financial
reporting  principles  and  policies,  and (iii)  the  maintenance  of  internal
controls and procedures designed to assure compliance with accounting  standards
and applicable laws and regulations.  The Funds'  independent  registered public
accounting  firm  ("independent  accountants")  is responsible  for planning and
carrying out proper audits and reviews of each Fund's  financial  statements and
expressing  an  opinion  as  to  their  conformity  with  accounting  principles
generally accepted in the United States of America.

         In performing its oversight function,  at a meeting held on January 22,
2007, the Audit  Committee  reviewed and discussed with  management of each Fund
and the  independent  accountants,  KPMG LLP  ("KPMG"),  the  audited  financial
statements  of each Fund as of and for the fiscal year ended  November 30, 2006,
and  discussed  the  audit of such  financial  statements  with the  independent
accountants.

         In  addition,  the  Audit  Committee  discussed  with  the  independent
accountants  the  accounting  principles  applied  by each  Fund and such  other
matters  brought to the  attention  of the Audit  Committee  by the  independent
accountants  required by Statement of Auditing Standards No. 61,  COMMUNICATIONS
WITH  AUDIT  COMMITTEES,  as  currently  modified  or  supplemented.  The  Audit
Committee also received from the independent accountants the written disclosures
and  statements   required  by  the  SEC's   independence   rules,   delineating
relationships  between the  independent  accountants and each Fund and discussed
the  impact  that any  such  relationships  might  have on the  objectivity  and
independence of the independent accountants.

         As set forth  above,  and as more fully set forth in each Fund's  Audit
Committee Charter,  the Audit Committee has significant duties and powers in its
oversight  role with  respect  to the  Fund's  financial  reporting  procedures,
internal controls systems, and the independent audit process.

         The  members  of the  Audit  Committee  are not,  and do not  represent
themselves  to  be,  professionally  engaged  in the  practice  of  auditing  or
accounting  and  are  not  employed  by  each  Fund  for  accounting,  financial
management or internal  control.  Moreover,  the Audit  Committee  relies on and
makes  no   independent   verification   of  the  facts   presented   to  it  or
representations made by management or the independent accountants.  Accordingly,
the  Audit  Committee's  oversight  does not  provide  an  independent  basis to
determine that  management has maintained  appropriate  accounting and financial
reporting principles and policies, or internal controls and procedures, designed
to  assure  compliance  with  accounting   standards  and  applicable  laws  and
regulations.  Furthermore,  the Audit Committee's considerations and discussions
referred  to above  do not  provide  assurance  that  the  audit of each  Fund's
financial  statements has been carried out in accordance with generally accepted
accounting   standards  or  that  the  financial  statements  are  presented  in
accordance with generally accepted accounting principles.

         Based on its consideration of the audited financial  statements and the
discussions  referred to above with management and the  independent  accountants
and subject to the  limitations  on the  responsibilities  and role of the Audit
Committee  set  forth in the  Charter  and  those  discussed  above,  the  Audit
Committee of each Fund  recommended  to the Board of Directors of each Fund that
the audited  financial  statements  be included in each Fund's Annual Report for
the fiscal year ended November 30, 2006.

THIS REPORT WAS SUBMITTED BY THE AUDIT COMMITTEE OF EACH FUND'S BOARD OF
DIRECTORS

David Gale
Morgan Gust
Karen H. Hogan
Robert F. Wulf (Chairman)

January 22, 2007

         Each  Audit  Committee  was  established  in  accordance  with  Section
3(a)(58)(A) of the Securities Exchange Act of 1934, as amended (the "1934 Act").
Each Audit  Committee met four times in  connection  with its Board of Directors
regularly  scheduled  meetings  during the fiscal year ended  November 30, 2006.
Each Audit  Committee is composed  entirely of each Fund's  independent (as such
term is  defined  by the New  York  Stock  Exchange,  Inc.'s  listing  standards
applicable to closed-end  funds, as may be modified or  supplemented  (the "NYSE
Listing  Standards"))  Directors,  namely Ms. Hogan and Messrs.  Gale,  Gust and
Wulf.

                                       8



NOMINATING COMMITTEE

         Each Board of Directors has a Nominating Committee composed entirely of
each Fund's  independent (as such term is defined by the NYSE Listing Standards)
Directors,  namely Ms. Hogan and Messrs.  Gale,  Gust and Wulf.  The  Nominating
Committee of each Fund met twice during the fiscal year ended November 30, 2006.
The Nominating Committee is responsible for identifying  individuals believed to
be qualified to become Board members and  recommending to the Board of Directors
such nominees to stand for election as directors at each Fund's  annual  meeting
of shareholders and to fill any vacancies on the Board.  Each Fund's  Nominating
Committee   has  a  charter   which  is   available   on  the   Funds'   website
(www.fcclaymore.com).

         Each  Fund's  Nominating  Committee  believes  that  it is in the  best
interest of the Fund and its shareholders to obtain highly qualified  candidates
to serve as members of the Board of Directors.  The Nominating  Committees  have
not  established a formal  process for  identifying  candidates  where a vacancy
exists on the Board. In nominating  candidates,  the Nominating  Committee shall
take into consideration such factors as it deems appropriate.  These factors may
include judgment,  skill,  diversity,  experience with investment  companies and
other  organizations  of  comparable  purpose,  complexity,  size and subject to
similar legal  restrictions  and  oversight,  the  interplay of the  candidate's
experience  with the experience of other Board members,  and the extent to which
the  candidate  would be a desirable  addition  to the Board and any  committees
thereof.

         Each Fund's  Nominating  Committee  will consider  director  candidates
recommended by shareholders  and submitted in accordance with applicable law and
procedures  as  described  in this Joint Proxy  Statement  (see  "Submission  of
Shareholder Proposals" below).

OTHER BOARD-RELATED MATTERS

         Shareholders who wish to send  communications  to the Board should send
them to the  address of the Fund and to the  attention  of the  Board.  All such
communications will be directed to the Board's attention.

         The Funds do not have a formal policy regarding Board member attendance
at the Annual Meeting of Shareholders.  However,  all of the Directors  attended
the April 21, 2006 Annual Meetings of Shareholders.

COMPENSATION

         The  following  table  sets forth  certain  information  regarding  the
compensation  of each Fund's  Directors  for the fiscal year ended  November 30,
2006.  No  executive   officer  or  person   affiliated  with  a  Fund  received
compensation  from a Fund  during the fiscal  year ended  November  30,  2006 in
excess of $120,000. Directors and executive officers of the Funds do not receive
pension or retirement benefits from the Funds.



                               COMPENSATION TABLE

               NAME OF                                          AGGREGATE                   TOTAL COMPENSATION FROM
             PERSON AND                                       COMPENSATION                    THE FUNDS AND FUND
              POSITION                                       FROM EACH FUND               COMPLEX PAID TO DIRECTORS*
                                                                                            
DONALD F. CRUMRINE                                                 $0                               $0 (4)
Director, Chairman of the Board
and Chief Executive Officer

DAVID GALE                                                    $14,900 - FFC                       $59,600(4)
Director                                                      $14,900 - FLC

MORGAN GUST                                                   $14,600 - FFC                       $58,700(4)
Director                                                      $14,600 - FLC

KAREN H. HOGAN                                                $14,750 - FFC                       $59,300(4)
Director                                                      $14,750 - FLC

ROBERT F. WULF                                                $17,550 - FFC                       $70,500(4)
Director                                                      $17,550 - FLC

-------------------
*        Represents  the  total  compensation  paid for the  fiscal  year  ended
         November 30, 2006,  to such persons by the Funds and the other funds in
         the Flaherty & Crumrine Fund Family,  which are considered  part of the
         same  "fund  complex"   because  they  have  a  common   adviser.   The
         parenthetical  number represents the total number of investment company
         directorships  held by the  director or nominee in such fund complex as
         of November 30, 2006.



                                       9



REQUIRED VOTE

         The  election of Mr.  Wulf as a Director of each Fund will  require the
affirmative  vote of a  plurality  of the votes cast by holders of the shares of
Common Stock of each Fund at the Meeting in person or by proxy.  The election of
Mr. Crumrine as a Director of each Fund will require the  affirmative  vote of a
plurality of the votes cast by holders of the shares of AMPS of each Fund at the
Meeting in person or by proxy.


EACH BOARD OF DIRECTORS, INCLUDING ALL OF THE INDEPENDENT DIRECTORS, UNANIMOUSLY
RECOMMENDS THAT THE SHAREHOLDERS VOTE "FOR" EACH NOMINEE AS DIRECTOR.

                       SUBMISSION OF SHAREHOLDER PROPOSALS

         All  proposals  by  shareholders  of each Fund that are  intended to be
presented at each Fund's next Annual Meeting of  Shareholders to be held in 2008
must be received by the relevant  Fund for  consideration  for  inclusion in the
relevant  Fund's proxy  statement  relating to the meeting no later than October
19, 2007 and must satisfy the other requirements of federal securities laws.

         Each Fund's Bylaws require  shareholders  wishing to nominate Directors
or make  proposals to be voted on at the Fund's annual meeting to provide timely
notice of the proposal in writing. To be considered timely, any such notice must
be delivered to or mailed and received at the principal executive offices of the
Fund at the  address  set forth on the first  page of this proxy  statement  not
later than 60 days prior to the date of the meeting; provided,  however, that if
less than 70 days' notice, or prior public disclosure of the date of the meeting
is given or made to shareholders,  any such notice by a shareholder to be timely
must be so  received  not  later  than  the  close of  business  on the 10th day
following the day on which notice of the date of the annual meeting was given or
such public disclosure was made.

         Any such  notice by a  shareholder  shall  set  forth  the  information
required  by the  Fund's  Bylaws  with  respect to each  matter the  shareholder
proposes to bring before the annual meeting.

                             ADDITIONAL INFORMATION

INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

         KPMG,  99 High  Street,  Boston,  Massachusetts  02110-2371,  has  been
selected to serve as each Fund's independent  accountants for each Fund's fiscal
year ending  November 30, 2007.  KPMG acted as the  independent  accountants for
each Fund for the fiscal  year ended  November  30,  2006.  The Funds know of no
direct financial or material indirect financial interest of KPMG in the Funds. A
representative of KPMG will not be present at the Meeting, but will be available
by telephone to respond to appropriate questions and will have an opportunity to
make a statement, if asked.

         Set forth in the table below are audit fees and non-audit  related fees
billed to each Fund by KPMG for professional  services  received for each Fund's
fiscal years ended November 30, 2005 and 2006, respectively.



                        FISCAL YEAR ENDED                       AUDIT-RELATED
FUND                       NOVEMBER 30       AUDIT FEES             FEES             TAX FEES*       ALL OTHER FEES**
                                                                                       
FFC                         2005           $38,500                 $0                $6,400           $13,700
                            2006           $40,800                 $0                $7,700           $14,900

FLC                         2005           $38,500                 $0                $6,400           $13,700
                            2006           $40,800                 $0                $7,700           $14,900

--------------------
*  "Tax Fees" are those fees billed to each Fund by KPMG in connection  with tax
   consulting services, including primarily the review of each Fund's income tax
   returns.
** "All  Other  Fees"  are  those fees billed to each Fund by KPMG in connection
   with the preparation of  a  quarterly  agreed-upon-procedures  report.  These
   Agreed-Upon-Procedures  ("AUP") are required pursuant to each Fund's Articles
   Supplementary.  Specifically, Moody's Investors Service and Fitch, Inc.  each
   require  that  such  AUP be  undertaken  and a report be provided in order to
   maintain their rating on the AMPS.



                                       10



    Each Fund's  Audit  Committee  Charter  requires  that the  Audit  Committee
pre-approve  all audit and non-audit  services to be provided by the independent
accountants  to the Fund,  and all  non-audit  services  to be  provided  by the
independent  accountants  to  the  Fund's  investment  adviser  and  any  entity
controlling,  controlled by or under common  control with the Funds'  investment
adviser  that  provide  on-going  services to each Fund  ("affiliates"),  if the
engagement  relates  directly to the operations and financial  reporting of each
Fund, or to establish  detailed  pre-approval  policies and  procedures for such
services in accordance with applicable laws. All of the audit, audit-related and
tax services for which KPMG billed each Fund fees for each Fund's  fiscal period
ended   November  30,  2006  and  fiscal  year  ended  November  30,  2005  were
pre-approved by the Audit Committee.

         For each  Fund's  fiscal year ended  November  30,  2006,  KPMG did not
provide  any  non-audit  services  (or bill any fees for such  services)  to the
Funds' investment adviser or any affiliates thereof that provide services to the
Funds.

INVESTMENT ADVISER, ADMINISTRATOR AND SERVICING AGENT

         Flaherty & Crumrine  serves as the investment adviser to each Fund, and
its  business  address  is  301  E. Colorado  Boulevard,  Suite  720,  Pasadena,
California  91101.  PFPC Inc.  acts as the  administrator  to each Fund  and  is
located  at  4400  Computer  Drive,  Westborough,  Massachusetts 01581. Claymore
Securities, Inc. acts as the servicing agent to each Fund and is located at 2455
Corporate West Drive, Lisle, Illinois 60532.

COMPLIANCE WITH THE SECURITIES EXCHANGE ACT OF 1934

         Section 16(a) of the 1934 Act and Section 30(h) of the 1940 Act require
each Fund's directors and officers,  certain persons  affiliated with Flaherty &
Crumrine and persons who beneficially own more than 10% of a registered class of
each Fund's  securities,  to file reports of ownership  and changes of ownership
with the SEC, the NYSE and each Fund.  Directors,  officers and greater-than-10%
shareholders are required by SEC regulations to furnish each Fund with copies of
such forms they file.  Based  solely upon its review of the copies of such forms
received by it and written  representations  from certain of such persons,  each
Fund believes that during 2006, all such filing requirements  applicable to such
persons were met.

BROKER NON-VOTES AND ABSTENTIONS

         A  proxy  which  is  properly  executed  and  returned  accompanied  by
instructions to withhold authority to vote represents a broker "non-vote" (i.e.,
shares held by brokers or nominees  as to which (i)  instructions  have not been
received from the beneficial owners or the persons entitled to vote and (ii) the
broker or  nominee  does not have  discretionary  voting  power on a  particular
matter).  Proxies that reflect  abstentions or broker  non-votes  (collectively,
"abstentions")  will be counted as shares that are present and  entitled to vote
at the  meeting for  purposes  of  determining  the  presence of a quorum.  With
respect to Proposal 1,  abstentions  do not constitute a vote "for" or "against"
the  proposal and will be  disregarded  in  determining  the "votes cast" on the
proposal.

                    OTHER MATTERS TO COME BEFORE THE MEETING

         Each Fund does not intend to present any other business at the relevant
Meeting,  nor is either  Fund aware that any  shareholder  intends to do so. If,
however,  any other matters are properly brought before the Meeting, the persons
named in the  accompanying  form of proxy will vote thereon in  accordance  with
their judgment.

IT IS  IMPORTANT  THAT  PROXIES BE RETURNED  PROMPTLY.  SHAREHOLDERS  WHO DO NOT
EXPECT TO ATTEND THE MEETINGS ARE THEREFORE  URGED TO COMPLETE,  SIGN,  DATE AND
RETURN  ALL  PROXY  CARDS  AS  SOON AS  POSSIBLE  IN THE  ENCLOSED  POSTAGE-PAID
ENVELOPE.

                                       11



                      THIS PAGE LEFT BLANK INTENTIONALLY.

                                       12



                       THIS PAGE LEFT BLANK INTENTIONALLY.

                                       13


PLEASE FOLD ALONG THE PERFORATION,  DETACH AND RETURN THE BOTTOM PORTION IN THE
ENCLOSED ENVELOPE.

FLAHERTY & CRUMRINE/CLAYMORE PREFERRED SECURITIES INCOME FUND INCORPORATED

--------------------------------------------------------------------------------
PROXY  --  FLAHERTY  &  CRUMRINE/CLAYMORE   PREFERRED   SECURITIES  INCOME  FUND
INCORPORATED
--------------------------------------------------------------------------------
PROXY SOLICITED BY THE BOARD OF DIRECTORS

The undersigned holder of shares of Common Stock of Flaherty & Crumrine/Claymore
Preferred  Securities  Income Fund  Incorporated,  a Maryland  corporation  (the
"Fund"),  hereby  appoints  Robert M.  Ettinger,  Teresa  M.R.  Hamlin and Aaron
Remorenko,  attorneys and proxies for the undersigned,  each with full powers of
substitution and revocation,  to represent the undersigned and to vote on behalf
of the  undersigned all shares of Common Stock which the undersigned is entitled
to vote at the  Annual  Meeting  of  Shareholders  of the Fund to be held at the
offices of Willkie Farr & Gallagher  LLP, 787 Seventh  Avenue,  Conference  Room
45A,  New York,  New York  10019 at 8:30 a.m.  ET,  on April 20,  2007,  and any
adjournments  or  postponements  thereof.  The undersigned  hereby  acknowledges
receipt of the Notice of Annual Meeting and Proxy Statement and hereby instructs
said  attorneys  and proxies to vote said shares as indicated  hereon.  In their
discretion,  the proxies are  authorized to vote upon such other business as may
properly come before the Meeting.  A majority of the proxies  present and acting
at the Meeting in person or by substitute  (or, if only one shall be so present,
then that one) shall have and may  exercise  all of the power and  authority  of
said proxies  hereunder.  The  undersigned  hereby revokes any proxy  previously
given.



----------------                                                ----------------
SEE REVERSE SIDE   CONTINUED AND TO BE SIGNED ON REVERSE SIDE   SEE REVERSE SIDE
----------------                                                ----------------


FLAHERTY & CRUMRINE/CLAYMORE PREFERRED
SECURITIES INCOME FUND INCORPORATED

--------------------------------------------------------------------------------
ANNUAL MEETING PROXY CARD
--------------------------------------------------------------------------------
PLEASE FOLD ALONG THE PERFORATION,  DETACH AND RETURN THE BOTTOM PORTION IN THE
ENCLOSED ENVELOPE.


A PROPOSALS -- THE BOARD OF DIRECTORS  RECOMMENDS A VOTE  FOR  THE  NOMINEE
  LISTED.
  PLEASE  REFER  TO THE  PROXY  STATEMENT  FOR A DISCUSSION OF THE PROPOSAL.

1. Election of Director: FOR   WITHHELD

01 - Robert F. Wulf      ___    ____

B NON-VOTING ITEMS
CHANGE OF ADDRESS -- Please print new address below.
________________________________________________________________________________

C AUTHORIZED  SIGNATURES  -- THIS SECTION  MUST BE  COMPLETED  FOR YOUR VOTE TO
  BE COUNTED. -- DATE AND SIGN BELOW.

Please sign exactly as your name appears on this Proxy. If joint owners,  EITHER
may sign this Proxy. When signing as attorney, executor, administrator, trustee,
guardian or corporate officer, please give your full title.

Date  (mm/dd/yyyy)  -- Please print date below.

_______________________________________________

Signature 1 -- Please keep signature within the box.

_______________________________________________

Signature 2 -- Please keep  signature  within the box.

_______________________________________________

C1234567890 JNT
1 U PX

00O3YG




PLEASE  FOLD  ALONG THE  PERFORATION,  DETACH  AND  RETURN THE BOTTOM PORTION IN
THE ENCLOSED ENVELOPE. .

   FLAHERTY & CRUMRINE/CLAYMORE PREFERRED SECURITIES INCOME FUND INCORPORATED

--------------------------------------------------------------------------------
 PROXY -- FLAHERTY & CRUMRINE/CLAYMORE PREFERRED SECURITIES INCOME FUND
INCORPORATED
--------------------------------------------------------------------------------

PROXY SOLICITED BY THE BOARD OF DIRECTORS

The undersigned  holder of shares of Auction Market  Preferred Stock ("AMPS") of
Flaherty & Crumrine/Claymore  Preferred  Securities Income Fund Incorporated,  a
Maryland corporation (the "Fund"), hereby appoints Robert M. Ettinger, Teresa M.
R. Hamlin and Aaron Remorenko,  attorneys and proxies for the undersigned,  each
with full powers of substitution  and  revocation,  to represent the undersigned
and to  vote  on  behalf  of the  undersigned  all  shares  of  AMPS  which  the
undersigned  is entitled to vote at the Annual  Meeting of  Shareholders  of the
Fund to be held at the  offices of Willkie  Farr &  Gallagher  LLP,  787 Seventh
Avenue,  Conference Room 45A, New York, New York 10019 at 8:30 a.m. ET, on April
20, 2007, and any adjournments or postponements  thereof. The undersigned hereby
acknowledges  receipt of the Notice of Annual  Meeting and Proxy  Statement  and
hereby  instructs  said  attorneys  and proxies to vote said shares as indicated
hereon. In their discretion,  the proxies are authorized to vote upon such other
business  as may  properly  come before the  Meeting.  A majority of the proxies
present  and acting at the Meeting in person or by  substitute  (or, if only one
shall be so present, then that one) shall have and may exercise all of the power
and authority of said proxies  hereunder.  The  undersigned  hereby  revokes any
proxy previously given.


----------------                                                ----------------
SEE REVERSE SIDE   CONTINUED AND TO BE SIGNED ON REVERSE SIDE   SEE REVERSE SIDE
----------------                                                ----------------


FLAHERTY & CRUMRINE/CLAYMORE PREFERRED
SECURITIES INCOME FUND INCORPORATED


Using a BLACK INK pen,  mark your votes with an X as shown in this example.
Please do not write outside the designated areas.

--------------------------------------------------------------------------------
ANNUAL MEETING PROXY CARD
--------------------------------------------------------------------------------

PLEASE  FOLD  ALONG THE  PERFORATION,  DETACH  AND  RETURN THE BOTTOM PORTION IN
THE ENCLOSED ENVELOPE. .

A  PROPOSALS -- THE BOARD OF DIRECTORS RECOMMENDS A VOTE FOR THE NOMINEE LISTED.
   PLEASE REFER TO THE PROXY  STATEMENT  FOR A DISCUSSION  OF THE PROPOSAL.


1. Election of Director:    FOR     WITHHELD

   01 - Donald F. Crumrine

[GRAPHIC OMITTED]

THIS PROXY,  IF PROPERLY  EXECUTED,  WILL BE VOTED IN
THE MANNER DIRECTED BY THE  UNDERSIGNED  SHAREHOLDER.
IF NO  DIRECTION  IS MADE,  THIS  PROXY WILL BE VOTED
FOR THE ELECTION OF THE NOMINEE AS DIRECTOR.

B  NON-VOTING ITEMS

CHANGE OF ADDRESS -- Please print new address below.
________________________________________________________________________________

C  AUTHORIZED  SIGNATURES  -- THIS SECTION  MUST BE  COMPLETED  FOR YOUR VOTE TO
   BE COUNTED. -- DATE AND SIGN BELOW.

Please sign exactly as your name appears on this Proxy. If joint owners,  EITHER
may sign this Proxy. When signing as attorney, executor, administrator, trustee,
guardian or corporate officer, please give your full title.

Date  (mm/dd/yyyy)  -- Please print date below.

_______________________________________________

Signature 1 -- Please keep signature within the box.

_______________________________________________

Signature 2 -- Please keep  signature  within the box.

_______________________________________________


C1234567890 JNT
1 U PX

COY###1