March 25, 2019

March 25th, 2019

TransAlta has done a deal with Brookfield Renewable:

TransAlta Corp. has lined up Brookfield Renewable Partners LP for a $750-million investment that aims to accelerate its move to renewable power and return money to shareholders who have been waiting for a turnaround.

TransAlta will use $350-million to speed its move away from coal and gas power, and another $250-million for a major share buyback. TransAlta will use the rest for other energy projects and general corporate spending. The Brookfield fund, an offshoot of Brookfield Asset Management Inc., is buying new TransAlta convertible debt and preferred stock. Each will pay 7-per-cent annual interest that will be exchangeable, in 2024, into up to 49 per cent of TransAlta’s Alberta hydro assets, based on their profitability at the time.

Brookfield − which already owned nearly 5 per cent of TransAlta in one of Brookfield Asset Management’s many investment funds − also committed to increasing its ownership in TransAlta’s common stock to 9 per cent by buying on the open market, so long as it pays no more than $10 a share.

DBRS comments:

DBRS notes that TAC’s 2018 consolidated and non-consolidated financial ratios improved notably from 2017 levels, reflecting a significant reduction of debt and relatively stable cash flow. Although the Investment will raise the debt and equivalents modestly, the pro forma level of corporate debt and equivalents would still remain below the 2017 level. As a result, DBRS does not expect the Investment and the use of proceeds as currently proposed by TAC to have a material impact on TAC’s credit profile.

HIMIPref™ Preferred Indices
These values reflect the December 2008 revision of the HIMIPref™ Indices

Values are provisional and are finalized monthly
Index Mean
Current
Yield
(at bid)
Median
YTW
Median
Average
Trading
Value
Median
Mod Dur
(YTW)
Issues Day’s Perf. Index Value
Ratchet 0.00 % 0.00 % 0 0.00 0 -1.2584 % 2,082.0
FixedFloater 0.00 % 0.00 % 0 0.00 0 -1.2584 % 3,820.3
Floater 5.62 % 5.78 % 43,545 14.24 3 -1.2584 % 2,201.7
OpRet 0.00 % 0.00 % 0 0.00 0 0.0596 % 3,278.0
SplitShare 4.87 % 4.57 % 77,193 3.88 8 0.0596 % 3,914.7
Interest-Bearing 0.00 % 0.00 % 0 0.00 0 0.0596 % 3,054.4
Perpetual-Premium 5.67 % -8.19 % 68,230 0.08 7 0.2364 % 2,930.9
Perpetual-Discount 5.39 % 5.46 % 75,131 14.54 26 0.1136 % 3,095.0
FixedReset Disc 5.26 % 5.24 % 185,894 14.98 64 -1.0699 % 2,165.9
Deemed-Retractible 5.24 % 5.87 % 96,726 8.19 27 0.0507 % 3,060.5
FloatingReset 4.25 % 4.09 % 41,831 2.72 5 -0.6612 % 2,379.3
FixedReset Prem 5.08 % 3.85 % 328,071 2.23 19 -0.1733 % 2,564.5
FixedReset Bank Non 1.98 % 3.97 % 145,511 2.75 3 -0.1250 % 2,633.4
FixedReset Ins Non 5.04 % 6.53 % 114,186 8.35 22 -1.3895 % 2,237.4
Performance Highlights
Issue Index Change Notes
MFC.PR.N FixedReset Ins Non -5.59 % A nonsensical quote provided at high cost by Nonsense Central, as the issue traded 3600 shares today in a range of 18.015-58 before being quoted at 17.22-20 offered. The closing price was 18.10.

I have not checked whether the lamentable state of the quote is due to inadequate Toronto Stock Exchange reporting or inadequate Toronto Stock Exchange supervision of market-makers.

YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 17.22
Bid-YTW : 8.19 %

TD.PF.E FixedReset Disc -4.23 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 20.83
Evaluated at bid price : 20.83
Bid-YTW : 5.21 %
MFC.PR.L FixedReset Ins Non -4.16 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 17.30
Bid-YTW : 7.95 %
HSE.PR.A FixedReset Disc -4.14 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 12.50
Evaluated at bid price : 12.50
Bid-YTW : 6.22 %
TRP.PR.B FixedReset Disc -4.08 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 11.76
Evaluated at bid price : 11.76
Bid-YTW : 5.77 %
SLF.PR.J FloatingReset -4.04 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.25
Bid-YTW : 9.52 %
SLF.PR.G FixedReset Ins Non -3.91 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.00
Bid-YTW : 9.35 %
BAM.PR.Z FixedReset Disc -3.85 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 19.73
Evaluated at bid price : 19.73
Bid-YTW : 5.71 %
PWF.PR.P FixedReset Disc -3.81 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 13.89
Evaluated at bid price : 13.89
Bid-YTW : 5.44 %
GWO.PR.N FixedReset Ins Non -3.37 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.62
Bid-YTW : 8.63 %
RY.PR.J FixedReset Disc -3.32 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 20.10
Evaluated at bid price : 20.10
Bid-YTW : 5.24 %
TRP.PR.A FixedReset Disc -3.05 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 14.30
Evaluated at bid price : 14.30
Bid-YTW : 5.94 %
MFC.PR.F FixedReset Ins Non -3.04 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.34
Bid-YTW : 8.94 %
BAM.PR.X FixedReset Disc -2.88 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 13.81
Evaluated at bid price : 13.81
Bid-YTW : 5.75 %
MFC.PR.J FixedReset Ins Non -2.40 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.78
Bid-YTW : 6.60 %
IFC.PR.A FixedReset Ins Non -2.28 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 16.30
Bid-YTW : 8.20 %
BAM.PR.R FixedReset Disc -2.27 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 15.90
Evaluated at bid price : 15.90
Bid-YTW : 5.79 %
MFC.PR.B Deemed-Retractible -2.21 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.66
Bid-YTW : 6.42 %
BAM.PF.E FixedReset Disc -2.20 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 17.35
Evaluated at bid price : 17.35
Bid-YTW : 5.84 %
BMO.PR.W FixedReset Disc -2.12 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 18.01
Evaluated at bid price : 18.01
Bid-YTW : 5.17 %
RY.PR.H FixedReset Disc -1.92 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 18.92
Evaluated at bid price : 18.92
Bid-YTW : 4.98 %
CU.PR.C FixedReset Disc -1.82 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 17.77
Evaluated at bid price : 17.77
Bid-YTW : 5.37 %
BAM.PR.K Floater -1.82 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 11.88
Evaluated at bid price : 11.88
Bid-YTW : 5.84 %
ELF.PR.H Perpetual-Discount -1.80 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 24.23
Evaluated at bid price : 24.60
Bid-YTW : 5.68 %
RY.PR.Z FixedReset Disc -1.69 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 18.65
Evaluated at bid price : 18.65
Bid-YTW : 4.98 %
CM.PR.Q FixedReset Disc -1.55 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 20.28
Evaluated at bid price : 20.28
Bid-YTW : 5.25 %
BMO.PR.S FixedReset Disc -1.55 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 19.03
Evaluated at bid price : 19.03
Bid-YTW : 5.04 %
BMO.PR.T FixedReset Disc -1.52 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 18.20
Evaluated at bid price : 18.20
Bid-YTW : 5.15 %
HSE.PR.C FixedReset Disc -1.51 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 18.95
Evaluated at bid price : 18.95
Bid-YTW : 6.09 %
TD.PF.C FixedReset Disc -1.45 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 19.00
Evaluated at bid price : 19.00
Bid-YTW : 4.96 %
BMO.PR.C FixedReset Disc -1.41 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 22.83
Evaluated at bid price : 23.75
Bid-YTW : 4.99 %
BAM.PR.T FixedReset Disc -1.40 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 16.20
Evaluated at bid price : 16.20
Bid-YTW : 5.77 %
SLF.PR.I FixedReset Ins Non -1.36 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.32
Bid-YTW : 6.53 %
MFC.PR.H FixedReset Ins Non -1.33 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 22.21
Bid-YTW : 5.95 %
EML.PR.A FixedReset Ins Non -1.31 % YTW SCENARIO
Maturity Type : Call
Maturity Date : 2021-04-17
Maturity Price : 25.00
Evaluated at bid price : 25.60
Bid-YTW : 4.36 %
EMA.PR.H FixedReset Disc -1.28 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 22.40
Evaluated at bid price : 23.16
Bid-YTW : 5.32 %
TRP.PR.F FloatingReset -1.18 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 14.20
Evaluated at bid price : 14.20
Bid-YTW : 6.33 %
TD.PF.A FixedReset Disc -1.15 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 18.86
Evaluated at bid price : 18.86
Bid-YTW : 4.99 %
PWF.PR.A Floater -1.14 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 13.00
Evaluated at bid price : 13.00
Bid-YTW : 5.38 %
TRP.PR.D FixedReset Disc -1.11 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 17.00
Evaluated at bid price : 17.00
Bid-YTW : 5.75 %
BIP.PR.C FixedReset Disc -1.08 % YTW SCENARIO
Maturity Type : Call
Maturity Date : 2021-09-30
Maturity Price : 25.00
Evaluated at bid price : 24.70
Bid-YTW : 5.86 %
RY.PR.M FixedReset Disc -1.07 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 20.25
Evaluated at bid price : 20.25
Bid-YTW : 5.04 %
NA.PR.W FixedReset Disc -1.07 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 17.50
Evaluated at bid price : 17.50
Bid-YTW : 5.39 %
CCS.PR.C Deemed-Retractible -1.04 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 22.76
Bid-YTW : 6.17 %
MFC.PR.G FixedReset Ins Non -1.04 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.92
Bid-YTW : 6.36 %
NA.PR.S FixedReset Disc -1.02 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 18.43
Evaluated at bid price : 18.43
Bid-YTW : 5.31 %
IAF.PR.B Deemed-Retractible 1.65 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.60
Bid-YTW : 6.38 %
CU.PR.E Perpetual-Discount 1.78 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 22.67
Evaluated at bid price : 22.90
Bid-YTW : 5.39 %
MFC.PR.C Deemed-Retractible 2.07 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.25
Bid-YTW : 6.49 %
Volume Highlights
Issue Index Shares
Traded
Notes
TD.PF.A FixedReset Disc 112,030 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 18.86
Evaluated at bid price : 18.86
Bid-YTW : 4.99 %
TD.PF.C FixedReset Disc 92,200 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 19.00
Evaluated at bid price : 19.00
Bid-YTW : 4.96 %
TD.PF.H FixedReset Prem 53,898 YTW SCENARIO
Maturity Type : Call
Maturity Date : 2021-10-31
Maturity Price : 25.00
Evaluated at bid price : 25.66
Bid-YTW : 4.08 %
HSE.PR.E FixedReset Disc 51,100 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 19.38
Evaluated at bid price : 19.38
Bid-YTW : 6.49 %
BAM.PF.F FixedReset Disc 30,725 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 19.80
Evaluated at bid price : 19.80
Bid-YTW : 5.49 %
BAM.PR.Z FixedReset Disc 27,011 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 19.73
Evaluated at bid price : 19.73
Bid-YTW : 5.71 %
There were 17 other index-included issues trading in excess of 10,000 shares.
Wide Spread Highlights
Issue Index Quote Data and Yield Notes
PWF.PR.P FixedReset Disc Quote: 13.89 – 15.00
Spot Rate : 1.1100
Average : 0.6114

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 13.89
Evaluated at bid price : 13.89
Bid-YTW : 5.44 %

BMO.PR.C FixedReset Disc Quote: 23.75 – 24.70
Spot Rate : 0.9500
Average : 0.5562

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 22.83
Evaluated at bid price : 23.75
Bid-YTW : 4.99 %

TD.PF.E FixedReset Disc Quote: 20.83 – 21.89
Spot Rate : 1.0600
Average : 0.6662

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 20.83
Evaluated at bid price : 20.83
Bid-YTW : 5.21 %

MFC.PR.N FixedReset Ins Non Quote: 17.22 – 18.20
Spot Rate : 0.9800
Average : 0.6388

YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 17.22
Bid-YTW : 8.19 %

ELF.PR.H Perpetual-Discount Quote: 24.60 – 25.50
Spot Rate : 0.9000
Average : 0.6144

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-25
Maturity Price : 24.23
Evaluated at bid price : 24.60
Bid-YTW : 5.68 %

IFC.PR.F Deemed-Retractible Quote: 23.90 – 24.55
Spot Rate : 0.6500
Average : 0.3834

YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 23.90
Bid-YTW : 5.88 %

March 22, 2019

March 22nd, 2019

The International Association of Insurance Supervisors has announced:

The CSFWG will host an ICS Stakeholder Meeting in Orlando on 10 April. The stakeholder meeting is intended to provide a forum for constructive feedback on ICS Version 2.0. Stakeholders who wish to provide presentations on key issues related to the ICS should contact danita.pattemore@bis.org and becky.easland@bis.org by 22 March 2019 indicating the topics they wish to cover. Presentation materials should be provided no later than 29 March 2019. To register, please click here.

Assiduous Readers will remember that “ICS” is the Insurance Capital Standards that will determine the fate of insurance Deemed Maturities.

Canadian inflation continues to be firm:

The annual pace of inflation edged higher in February as gains in most spending categories offset lower gasoline prices, Statistics Canada said Friday.

The federal data agency said the consumer price index climbed 1.5 per cent last month compared to the same month a year ago. The move compared with a year-over-over increase of 1.4 per cent in January.

Helping push costs higher was a 8.1 per cent increase in mortgage interest costs and a 14.3 per cent rise compared with a year ago in the cost of fresh vegetables. The cost of passenger vehicle insurance premiums also rose 6.3 per cent.

The cost of gasoline was down 11.9 per cent compared with the same month last year, as overall energy prices slipped 5.7 per cent.

However, Statistics Canada said tighter oil supplies and the temporary closure of several refineries for seasonal maintenance helped boost gasoline prices 1.9 per cent compared with January, the first month-over-month increase in gasoline since July 2018.

Excluding gasoline, the annual pace of inflation held steady at 2.1 per cent, the same as January.

The report also said the average of the Bank of Canada’s three core inflation readings, which omit more-volatile items such as gas, edged down to 1.8 per cent compared with a reading of 1.9 per cent in January.

The bond market, however, was very strong today, with the Canada 5-Year yield down 8bp to 1.48%. Long Canadas are at 1.89%, so call them even with inflation before taxes.

HIMIPref™ Preferred Indices
These values reflect the December 2008 revision of the HIMIPref™ Indices

Values are provisional and are finalized monthly
Index Mean
Current
Yield
(at bid)
Median
YTW
Median
Average
Trading
Value
Median
Mod Dur
(YTW)
Issues Day’s Perf. Index Value
Ratchet 0.00 % 0.00 % 0 0.00 0 -0.7705 % 2,108.5
FixedFloater 0.00 % 0.00 % 0 0.00 0 -0.7705 % 3,869.0
Floater 5.55 % 5.73 % 44,303 14.33 3 -0.7705 % 2,229.7
OpRet 0.00 % 0.00 % 0 0.00 0 -0.1834 % 3,276.1
SplitShare 4.88 % 4.68 % 76,388 3.89 8 -0.1834 % 3,912.4
Interest-Bearing 0.00 % 0.00 % 0 0.00 0 -0.1834 % 3,052.6
Perpetual-Premium 5.68 % -4.11 % 70,604 0.08 7 -0.0996 % 2,924.0
Perpetual-Discount 5.40 % 5.50 % 73,949 14.57 26 0.4002 % 3,091.4
FixedReset Disc 5.21 % 5.29 % 188,266 14.88 64 -0.1547 % 2,189.3
Deemed-Retractible 5.24 % 5.87 % 99,962 8.20 27 0.1254 % 3,059.0
FloatingReset 4.22 % 4.17 % 41,880 2.73 5 -0.8491 % 2,395.2
FixedReset Prem 5.07 % 3.77 % 330,141 2.24 19 0.1061 % 2,569.0
FixedReset Bank Non 1.98 % 3.99 % 146,881 2.75 3 0.0417 % 2,636.7
FixedReset Ins Non 4.97 % 6.48 % 113,506 8.35 22 -0.1290 % 2,269.0
Performance Highlights
Issue Index Change Notes
SLF.PR.H FixedReset Ins Non -3.31 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 17.26
Bid-YTW : 7.81 %
TRP.PR.E FixedReset Disc -2.63 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 17.00
Evaluated at bid price : 17.00
Bid-YTW : 5.94 %
TRP.PR.F FloatingReset -2.58 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 14.37
Evaluated at bid price : 14.37
Bid-YTW : 6.25 %
TRP.PR.A FixedReset Disc -2.06 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 14.75
Evaluated at bid price : 14.75
Bid-YTW : 6.00 %
TRP.PR.D FixedReset Disc -2.05 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 17.19
Evaluated at bid price : 17.19
Bid-YTW : 5.90 %
PWF.PR.A Floater -1.87 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 13.15
Evaluated at bid price : 13.15
Bid-YTW : 5.32 %
TRP.PR.C FixedReset Disc -1.85 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 12.76
Evaluated at bid price : 12.76
Bid-YTW : 6.07 %
MFC.PR.C Deemed-Retractible -1.84 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.82
Bid-YTW : 6.74 %
CU.PR.E Perpetual-Discount -1.75 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 22.17
Evaluated at bid price : 22.50
Bid-YTW : 5.48 %
PWF.PR.Q FloatingReset -1.73 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 14.19
Evaluated at bid price : 14.19
Bid-YTW : 5.83 %
SLF.PR.G FixedReset Ins Non -1.62 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.57
Bid-YTW : 9.05 %
MFC.PR.N FixedReset Ins Non -1.51 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 18.24
Bid-YTW : 7.65 %
TD.PF.B FixedReset Disc -1.51 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 18.91
Evaluated at bid price : 18.91
Bid-YTW : 5.21 %
BAM.PF.E FixedReset Disc -1.44 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 17.74
Evaluated at bid price : 17.74
Bid-YTW : 5.91 %
MFC.PR.F FixedReset Ins Non -1.40 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.79
Bid-YTW : 8.72 %
TD.PF.I FixedReset Disc -1.20 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 22.44
Evaluated at bid price : 23.12
Bid-YTW : 5.00 %
MFC.PR.K FixedReset Ins Non -1.18 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 19.33
Bid-YTW : 7.20 %
PWF.PR.P FixedReset Disc -1.10 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 14.44
Evaluated at bid price : 14.44
Bid-YTW : 5.47 %
BIP.PR.D FixedReset Disc -1.09 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 21.46
Evaluated at bid price : 21.81
Bid-YTW : 6.11 %
TD.PF.D FixedReset Disc -1.08 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 21.02
Evaluated at bid price : 21.02
Bid-YTW : 5.24 %
MFC.PR.M FixedReset Ins Non -1.06 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 18.73
Bid-YTW : 7.40 %
BIP.PR.E FixedReset Disc -1.04 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 21.55
Evaluated at bid price : 21.82
Bid-YTW : 5.74 %
TRP.PR.G FixedReset Disc -1.04 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 19.10
Evaluated at bid price : 19.10
Bid-YTW : 5.93 %
PWF.PR.F Perpetual-Discount 1.01 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 23.69
Evaluated at bid price : 24.00
Bid-YTW : 5.54 %
MFC.PR.B Deemed-Retractible 1.10 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 22.15
Bid-YTW : 6.14 %
IAF.PR.G FixedReset Ins Non 1.27 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.67
Bid-YTW : 6.48 %
RY.PR.S FixedReset Disc 1.28 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 21.77
Evaluated at bid price : 22.18
Bid-YTW : 4.76 %
IFC.PR.F Deemed-Retractible 1.36 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 23.85
Bid-YTW : 5.90 %
POW.PR.G Perpetual-Discount 1.36 % YTW SCENARIO
Maturity Type : Call
Maturity Date : 2019-05-15
Maturity Price : 25.50
Evaluated at bid price : 25.70
Bid-YTW : -2.23 %
BIP.PR.F FixedReset Disc 1.45 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 21.87
Evaluated at bid price : 22.32
Bid-YTW : 5.72 %
GWO.PR.N FixedReset Ins Non 1.61 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 15.13
Bid-YTW : 8.39 %
MFC.PR.J FixedReset Ins Non 1.62 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.29
Bid-YTW : 6.40 %
Volume Highlights
Issue Index Shares
Traded
Notes
MFC.PR.K FixedReset Ins Non 114,600 YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 19.33
Bid-YTW : 7.20 %
PVS.PR.F SplitShare 69,457 YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2024-09-30
Maturity Price : 25.00
Evaluated at bid price : 25.00
Bid-YTW : 4.87 %
BMO.PR.B FixedReset Prem 47,425 YTW SCENARIO
Maturity Type : Call
Maturity Date : 2022-02-25
Maturity Price : 25.00
Evaluated at bid price : 25.84
Bid-YTW : 3.77 %
MFC.PR.I FixedReset Ins Non 36,355 YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.43
Bid-YTW : 6.30 %
BAM.PF.B FixedReset Disc 35,905 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 18.75
Evaluated at bid price : 18.75
Bid-YTW : 5.68 %
RY.PR.H FixedReset Disc 34,235 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 19.29
Evaluated at bid price : 19.29
Bid-YTW : 5.07 %
There were 35 other index-included issues trading in excess of 10,000 shares.
Wide Spread Highlights
Issue Index Quote Data and Yield Notes
MFC.PR.K FixedReset Ins Non Quote: 19.33 – 23.99
Spot Rate : 4.6600
Average : 2.6381

YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 19.33
Bid-YTW : 7.20 %

MFC.PR.G FixedReset Ins Non Quote: 21.14 – 25.00
Spot Rate : 3.8600
Average : 2.2163

YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.14
Bid-YTW : 6.35 %

TD.PF.J FixedReset Disc Quote: 22.10 – 22.93
Spot Rate : 0.8300
Average : 0.5064

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 21.75
Evaluated at bid price : 22.10
Bid-YTW : 5.03 %

HSE.PR.G FixedReset Disc Quote: 19.52 – 20.21
Spot Rate : 0.6900
Average : 0.4416

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 19.52
Evaluated at bid price : 19.52
Bid-YTW : 6.56 %

CM.PR.P FixedReset Disc Quote: 18.11 – 18.75
Spot Rate : 0.6400
Average : 0.3938

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 18.11
Evaluated at bid price : 18.11
Bid-YTW : 5.39 %

CM.PR.Q FixedReset Disc Quote: 20.60 – 21.30
Spot Rate : 0.7000
Average : 0.4746

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-22
Maturity Price : 20.60
Evaluated at bid price : 20.60
Bid-YTW : 5.33 %

Toronto Rock Lacrosse Ticket Giveaway : Update #7

March 22nd, 2019

I have ten nine eight seven six five four two pairs of Toronto Rock Lacrosse tickets to give away! Congratulations to Assiduous Reader Jonathan Caners, who won the tickets to the April 5 game against the Buffalo Bandits! And congratulations to Assiduous Reader Fed Sanchez, who won the tickets to the March 30 game against the Philadelphia Wings!

Next week I will declare the lucky winner of the April 12 tickets to see Rock play New England in the last regular season game. Get your requests in early!

The games take place at the Air Canada Centre Scotiabank Arena and the seats are very good. Just tell me which ones you would like and feel free to enter multiple times. A decision regarding who gets tickets will be made two weeks before each game and I will mail them to the lucky winner; while preference will be given to customers and those who tell me they’ve got a kid who plays lacrosse, anybody can win. If you win and don’t want your name publicized, that’s fine.

The games are:

Toronto Rock Lacrosse Ticket Giveaway
Date Opponent
Friday
2018-12-28
7:30pm
Georgia Swarm
Friday
2019-1-4
7:30pm
Philadelphia Wings
Friday
2019-1-18
7:30pm
Georgia Swarm
Friday
2019-2-1
7:30pm
Saskatchewan Rush
Friday
2019-2-15
7:30pm
San Diego Seals
Saturday
2019-3-16
7:00pm
Rochester Knighthawks
Saturday
2019-3-30
7:00pm
Philadelphia Wings
Friday
2019-4-5
7:30pm
Buffalo Bandits
Friday
2019-4-12
7:30pm
New England Black Wolves
???
???
???
Home Playoff Game #1
If there is one!

The games are a lot of fun. One thing that has impressed me is that these guys’ technical skills are so good they can concentrate on strategy … there are a lot fewer loose balls than I remember from my days of box lacrosse at age 10!

The play-off game? There’s no guarantee that there will be one, but you could always try your luck and ask for them.

To try your luck at receiving a pair of tickets, just eMail me or comment on this post.

*** Contest rules are subject to change without notice ***
*** I may be entirely capricious in selecting winners

AQN.PR.D : No Conversion To FloatingReset

March 22nd, 2019

Algonquin Power & Utilities Corp. has announced:

that none of its outstanding 4,000,000 Cumulative Rate Reset Preferred Shares, Series D (the “Series D Preferred Shares”) will be converted on April 1, 2019, into Cumulative Floating Rate Preferred Shares, Series E (the “Series E Preferred Shares”) of the Company. During the conversion notice period which ran from March 1, 2019 to March 15, 2019, less than 1,000,000 Series D Preferred Shares were tendered for conversion into Series E Preferred Shares.

As per the terms and conditions of the Series D Preferred Shares described in the prospectus supplement of the Company dated February 25, 2014 to a short form base shelf prospectus of the Company dated February 18, 2014 relating to the issuance of Series D Preferred Shares, since there would remain outstanding on April 1, 2019, after having taken into account all Series D Preferred Shares tendered for conversion into Series E Preferred Shares, less than 1,000,000 Series E Preferred Shares, holders of Series D Preferred Shares who tendered their Series D Preferred Shares for conversion will not be entitled to convert their Series D Preferred Shares into Series E Preferred Shares. As a result, Series E Preferred Shares will not be issued at this time.

It will be recalled that AQN.PR.D will reset at 5.091% effective March 31, 2019.

AQN.PR.D is a FixedReset, 5.00%+328, that commenced trading 2014-3-5 after being announced 2014-2-24. The extension was announced 2019-2-26 and the reset to 5.091% effective March 31, 2019 was announced 2019-3-1. I recommended against conversion. The issue is tracked by HIMIPref™ but relegated to the Scraps-FixedReset (Discount) subindex on credit concerns.

March 21, 2019

March 21st, 2019

The federal budget has brought at least one good thing with it – deferred annuities:

The federal government is permitting annuities that would allow retirees to move some savings out of their registered retirement funds to an annuity deferred until age 85.

The tax rules generally require an annuity purchased with registered funds to begin after the annuitant turns 71.

The Liberal government is amending the rules to permit seniors to purchase an advanced life deferred annuity (ALDA) under certain registered plans—an annuity whose commencement can be deferred until age 85. The plan was introduced Tuesday in the federal budget.

Lifetime limits will be 25% of a specific amount of a qualifying plan, calculated as:
•the value of all property (other than most annuities, including ALDAs) held in the qualifying plan as at the end of the previous year; and
•any amounts from the qualifying plan used to purchase ALDAs in previous years.

If the value of an ALDA purchased in previous years exceeds the 25% limit for a particular year due a decline in qualifying plan assets, the retiree won’t be forced to surrender or dispose of the annuity, the budget says.

ALDAs will also have a lifetime limit of $150,000 from all qualifying plans, indexed to inflation for taxation years after 2020, rounded to the nearest $10,000.

HIMIPref™ Preferred Indices
These values reflect the December 2008 revision of the HIMIPref™ Indices

Values are provisional and are finalized monthly
Index Mean
Current
Yield
(at bid)
Median
YTW
Median
Average
Trading
Value
Median
Mod Dur
(YTW)
Issues Day’s Perf. Index Value
Ratchet 0.00 % 0.00 % 0 0.00 0 -0.2650 % 2,124.9
FixedFloater 0.00 % 0.00 % 0 0.00 0 -0.2650 % 3,899.0
Floater 5.51 % 5.70 % 44,792 14.37 3 -0.2650 % 2,247.0
OpRet 0.00 % 0.00 % 0 0.00 0 0.0545 % 3,282.1
SplitShare 4.87 % 4.53 % 76,913 3.89 8 0.0545 % 3,919.5
Interest-Bearing 0.00 % 0.00 % 0 0.00 0 0.0545 % 3,058.2
Perpetual-Premium 5.67 % -4.76 % 70,851 0.08 7 0.1025 % 2,926.9
Perpetual-Discount 5.41 % 5.52 % 71,654 14.48 26 0.3143 % 3,079.1
FixedReset Disc 5.20 % 5.33 % 190,212 14.87 64 -0.4792 % 2,192.7
Deemed-Retractible 5.25 % 5.87 % 104,049 8.20 27 0.2625 % 3,055.1
FloatingReset 4.18 % 4.14 % 41,836 2.73 5 0.1938 % 2,415.7
FixedReset Prem 5.08 % 3.84 % 340,241 2.24 19 -0.1081 % 2,566.2
FixedReset Bank Non 1.98 % 3.97 % 147,778 2.75 3 -0.0694 % 2,635.6
FixedReset Ins Non 4.96 % 6.55 % 110,599 8.36 22 -0.1040 % 2,271.9
Performance Highlights
Issue Index Change Notes
NA.PR.W FixedReset Disc -2.60 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 17.59
Evaluated at bid price : 17.59
Bid-YTW : 5.56 %
TRP.PR.B FixedReset Disc -2.39 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 12.25
Evaluated at bid price : 12.25
Bid-YTW : 5.82 %
BAM.PR.R FixedReset Disc -2.35 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 16.21
Evaluated at bid price : 16.21
Bid-YTW : 5.87 %
RY.PR.M FixedReset Disc -2.16 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 20.35
Evaluated at bid price : 20.35
Bid-YTW : 5.18 %
CU.PR.C FixedReset Disc -2.05 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 18.17
Evaluated at bid price : 18.17
Bid-YTW : 5.42 %
BAM.PR.Z FixedReset Disc -1.92 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 20.40
Evaluated at bid price : 20.40
Bid-YTW : 5.66 %
BAM.PF.G FixedReset Disc -1.66 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 19.53
Evaluated at bid price : 19.53
Bid-YTW : 5.73 %
RY.PR.S FixedReset Disc -1.66 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 21.57
Evaluated at bid price : 21.90
Bid-YTW : 4.83 %
MFC.PR.J FixedReset Ins Non -1.60 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.95
Bid-YTW : 6.59 %
MFC.PR.L FixedReset Ins Non -1.59 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 17.96
Bid-YTW : 7.68 %
NA.PR.C FixedReset Disc -1.53 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 22.06
Evaluated at bid price : 22.50
Bid-YTW : 5.51 %
BAM.PR.T FixedReset Disc -1.50 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 16.40
Evaluated at bid price : 16.40
Bid-YTW : 5.88 %
BAM.PF.F FixedReset Disc -1.48 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 20.00
Evaluated at bid price : 20.00
Bid-YTW : 5.62 %
BAM.PF.E FixedReset Disc -1.37 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 18.00
Evaluated at bid price : 18.00
Bid-YTW : 5.83 %
BNS.PR.I FixedReset Disc -1.34 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 22.23
Evaluated at bid price : 22.91
Bid-YTW : 4.68 %
PWF.PR.Q FloatingReset -1.23 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 14.44
Evaluated at bid price : 14.44
Bid-YTW : 5.73 %
BMO.PR.S FixedReset Disc -1.22 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 19.37
Evaluated at bid price : 19.37
Bid-YTW : 5.14 %
HSE.PR.A FixedReset Disc -1.22 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 12.99
Evaluated at bid price : 12.99
Bid-YTW : 6.24 %
BMO.PR.C FixedReset Disc -1.16 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 22.91
Evaluated at bid price : 23.92
Bid-YTW : 5.07 %
BAM.PF.J FixedReset Disc -1.12 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 22.81
Evaluated at bid price : 23.85
Bid-YTW : 4.93 %
CM.PR.O FixedReset Disc -1.10 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 18.90
Evaluated at bid price : 18.90
Bid-YTW : 5.28 %
TRP.PR.C FixedReset Disc -1.07 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 13.00
Evaluated at bid price : 13.00
Bid-YTW : 5.96 %
BMO.PR.E FixedReset Disc -1.05 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 22.06
Evaluated at bid price : 22.61
Bid-YTW : 4.92 %
SLF.PR.J FloatingReset 1.02 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.85
Bid-YTW : 9.01 %
PWF.PR.E Perpetual-Discount 1.05 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 24.66
Evaluated at bid price : 24.92
Bid-YTW : 5.59 %
TD.PF.D FixedReset Disc 1.14 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 21.25
Evaluated at bid price : 21.25
Bid-YTW : 5.18 %
CCS.PR.C Deemed-Retractible 1.19 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 22.91
Bid-YTW : 6.08 %
PWF.PR.S Perpetual-Discount 1.29 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 21.75
Evaluated at bid price : 22.01
Bid-YTW : 5.52 %
BIP.PR.E FixedReset Disc 1.61 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 21.72
Evaluated at bid price : 22.05
Bid-YTW : 5.68 %
TRP.PR.G FixedReset Disc 1.79 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 19.30
Evaluated at bid price : 19.30
Bid-YTW : 5.87 %
GWO.PR.R Deemed-Retractible 1.84 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 22.66
Bid-YTW : 6.00 %
CU.PR.E Perpetual-Discount 2.00 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 22.67
Evaluated at bid price : 22.90
Bid-YTW : 5.39 %
SLF.PR.I FixedReset Ins Non 2.31 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.80
Bid-YTW : 6.36 %
GWO.PR.T Deemed-Retractible 2.32 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 23.85
Bid-YTW : 5.74 %
Volume Highlights
Issue Index Shares
Traded
Notes
SLF.PR.A Deemed-Retractible 281,290 YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.91
Bid-YTW : 6.36 %
MFC.PR.O FixedReset Ins Non 127,200 YTW SCENARIO
Maturity Type : Call
Maturity Date : 2021-06-19
Maturity Price : 25.00
Evaluated at bid price : 26.15
Bid-YTW : 3.49 %
IGM.PR.B Perpetual-Premium 102,100 YTW SCENARIO
Maturity Type : Call
Maturity Date : 2019-04-20
Maturity Price : 25.00
Evaluated at bid price : 25.32
Bid-YTW : -0.24 %
GWO.PR.N FixedReset Ins Non 65,583 YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.89
Bid-YTW : 8.57 %
SLF.PR.I FixedReset Ins Non 65,580 YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.80
Bid-YTW : 6.36 %
TRP.PR.K FixedReset Disc 56,877 YTW SCENARIO
Maturity Type : Call
Maturity Date : 2022-05-31
Maturity Price : 25.00
Evaluated at bid price : 24.89
Bid-YTW : 5.19 %
There were 30 other index-included issues trading in excess of 10,000 shares.
Wide Spread Highlights
Issue Index Quote Data and Yield Notes
RY.PR.M FixedReset Disc Quote: 20.35 – 20.91
Spot Rate : 0.5600
Average : 0.3572

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 20.35
Evaluated at bid price : 20.35
Bid-YTW : 5.18 %

CU.PR.C FixedReset Disc Quote: 18.17 – 18.58
Spot Rate : 0.4100
Average : 0.2366

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 18.17
Evaluated at bid price : 18.17
Bid-YTW : 5.42 %

BAM.PR.R FixedReset Disc Quote: 16.21 – 16.63
Spot Rate : 0.4200
Average : 0.2699

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 16.21
Evaluated at bid price : 16.21
Bid-YTW : 5.87 %

TRP.PR.B FixedReset Disc Quote: 12.25 – 12.67
Spot Rate : 0.4200
Average : 0.2774

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 12.25
Evaluated at bid price : 12.25
Bid-YTW : 5.82 %

BAM.PF.G FixedReset Disc Quote: 19.53 – 19.91
Spot Rate : 0.3800
Average : 0.2402

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 19.53
Evaluated at bid price : 19.53
Bid-YTW : 5.73 %

NA.PR.C FixedReset Disc Quote: 22.50 – 22.85
Spot Rate : 0.3500
Average : 0.2148

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-21
Maturity Price : 22.06
Evaluated at bid price : 22.50
Bid-YTW : 5.51 %

BAM.PF.B : No Conversion To FloatingReset

March 20th, 2019

Brookfield Asset Management Inc. has announced:

that after having taken into account all election notices received by the March 18, 2019 deadline for the conversion of its Cumulative Class A Preference Shares, Series 34 (the “Series 34 Shares”) (TSX: BAM.PF.B) into Cumulative Class A Preference Shares, Series 35 (the “Series 35 Shares”), there were 53,649 Series 34 Shares tendered for conversion, which is less than the one million shares required to give effect to conversions into Series 35 Shares. Accordingly, there will be no conversion of Series 34 Shares into Series 35 Shares.

BAM.PF.B is a FixedReset, 4.20%+263, that commenced trading 2012-9-12 after being announced 2012-8-23. I recommended against conversion. The issue is tracked by HIMIPref™ and assigned to the FixedReset (Discount) sub-index.

March 20, 2019

March 20th, 2019

There were no surprises in today’s FOMC statement:

Information received since the Federal Open Market Committee met in January indicates that the labor market remains strong but that growth of economic activity has slowed from its solid rate in the fourth quarter. Payroll employment was little changed in February, but job gains have been solid, on average, in recent months, and the unemployment rate has remained low. Recent indicators point to slower growth of household spending and business fixed investment in the first quarter. On a 12-month basis, overall inflation has declined, largely as a result of lower energy prices; inflation for items other than food and energy remains near 2 percent. On balance, market-based measures of inflation compensation have remained low in recent months, and survey-based measures of longer-term inflation expectations are little changed.

Consistent with its statutory mandate, the Committee seeks to foster maximum employment and price stability. In support of these goals, the Committee decided to maintain the target range for the federal funds rate at 2-1/4 to 2-1/2 percent. The Committee continues to view sustained expansion of economic activity, strong labor market conditions, and inflation near the Committee’s symmetric 2 percent objective as the most likely outcomes. In light of global economic and financial developments and muted inflation pressures, the Committee will be patient as it determines what future adjustments to the target range for the federal funds rate may be appropriate to support these outcomes.

In determining the timing and size of future adjustments to the target range for the federal funds rate, the Committee will assess realized and expected economic conditions relative to its maximum employment objective and its symmetric 2 percent inflation objective. This assessment will take into account a wide range of information, including measures of labor market conditions, indicators of inflation pressures and inflation expectations, and readings on financial and international developments.

Voting for the FOMC monetary policy action were: Jerome H. Powell, Chairman; John C. Williams, Vice Chairman; Michelle W. Bowman; Lael Brainard; James Bullard; Richard H. Clarida; Charles L. Evans; Esther L. George; Randal K. Quarles; and Eric S. Rosengren.

The FOMC also issued a note titled Balance Sheet Normalization Principles and Plans.

The Grits latest subsidy effort is attracting some criticism:

The announced housing-affordability plan, which will have Crown agency Canada Mortgage and Housing Corp. provide up to 10-per-cent funding of mortgages for first-time buyers, is a can’t-lose political proposition for a government that hangs its hat on supporting the middle class (and expects that support to be returned at the ballot box).

The plan will increase demand for homes – that’s precisely what it’s designed to do. The government argues that because CMHC will contribute a bigger incentive for buyers of newly built homes, the plan will also spur increased supply. But while the demand will be essentially immediate, it takes much longer for homes to be built to catch up. It doesn’t take a PhD in economics to figure out that higher demand, in the absence of matching supply, will inflate prices. The help the government is offering new buyers could very quickly be wiped out by rising prices; in markets where prices have been declining, this could undermine the improving affordability that buyers would have seen otherwise. And this isn’t just for first-time buyers – all buyers will feel the impact.

None of this is helpful in addressing Canada’s record-high household debt loads. Instead, it encourages more people at the margins of being able to afford a home to take on mortgage debt, while contributing to the bloated housing costs that got Canadian households into the current debt conundrum in the first place.

Tell me again how this is a good investment?

Yes, I’ve often said that that this country really needs is an increased supply of houses that can’t be sold without a government subsidy. Haven’t we all?

Like so many other idiotic government programmes (such as rent control and subsidized housing), this will have a deleterious effect on the economy due to the restriction of labour mobility. You buy a house for X, assisted by a 10% government subsidy. Ten years later, you get the offer of a slightly better job, but to take it will require moving. Moving means you have to pay back your interest-free loan. So you will have to buy a house that’s not as good as the one you’re in. And after adding up all the pros and cons, you decide to turn down the job and stay put. Hurrah for productivity!

On a brighter note, it appears the CMHC is reducing its impact on mortgage insurance – in 2017 there was 480-billion worth of insurance in force, compared to 557-billion in 2013; the CMHC insured about 31.9% of outstanding Canadian residential mortgages in 2017, compared to 45.6% in 2013.

PerpetualDiscounts now yield 5.57%, equivalent to 7.24% interest at the standard equivalency factor of 1.3x. Long corporates now yield about 3.75%, so the pre-tax interest-equivalent spread (in this context, the “Seniority Spread”) is now about 350bp, a slight (and perhaps spurious) narrowing from the 355bp reported on March 13.

HIMIPref™ Preferred Indices
These values reflect the December 2008 revision of the HIMIPref™ Indices

Values are provisional and are finalized monthly
Index Mean
Current
Yield
(at bid)
Median
YTW
Median
Average
Trading
Value
Median
Mod Dur
(YTW)
Issues Day’s Perf. Index Value
Ratchet 0.00 % 0.00 % 0 0.00 0 0.0265 % 2,130.5
FixedFloater 0.00 % 0.00 % 0 0.00 0 0.0265 % 3,909.4
Floater 5.49 % 5.65 % 45,454 14.44 3 0.0265 % 2,253.0
OpRet 0.00 % 0.00 % 0 0.00 0 0.0794 % 3,280.3
SplitShare 4.87 % 4.55 % 73,092 3.90 8 0.0794 % 3,917.4
Interest-Bearing 0.00 % 0.00 % 0 0.00 0 0.0794 % 3,056.5
Perpetual-Premium 5.63 % -0.82 % 59,282 0.08 9 0.0964 % 2,923.9
Perpetual-Discount 5.43 % 5.57 % 71,700 14.45 26 0.3286 % 3,069.5
FixedReset Disc 5.17 % 5.31 % 192,273 14.90 64 -0.3071 % 2,203.3
Deemed-Retractible 5.26 % 6.00 % 102,912 8.19 27 0.2424 % 3,047.1
FloatingReset 4.19 % 4.15 % 42,237 2.73 5 0.1510 % 2,411.0
FixedReset Prem 5.07 % 3.75 % 339,252 2.24 19 -0.0957 % 2,569.0
FixedReset Bank Non 1.97 % 3.96 % 153,536 2.76 3 0.0139 % 2,637.4
FixedReset Ins Non 4.96 % 6.58 % 112,231 8.36 22 0.2789 % 2,274.2
Performance Highlights
Issue Index Change Notes
TRP.PR.G FixedReset Disc -3.27 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 18.96
Evaluated at bid price : 18.96
Bid-YTW : 5.97 %
TD.PF.D FixedReset Disc -2.96 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 21.01
Evaluated at bid price : 21.01
Bid-YTW : 5.24 %
RY.PR.H FixedReset Disc -2.54 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 19.20
Evaluated at bid price : 19.20
Bid-YTW : 5.09 %
TRP.PR.D FixedReset Disc -2.39 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 17.55
Evaluated at bid price : 17.55
Bid-YTW : 5.78 %
TD.PF.A FixedReset Disc -2.31 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 19.00
Evaluated at bid price : 19.00
Bid-YTW : 5.14 %
TD.PF.J FixedReset Disc -2.25 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 21.79
Evaluated at bid price : 22.15
Bid-YTW : 5.02 %
TD.PF.E FixedReset Disc -2.23 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 21.51
Evaluated at bid price : 21.88
Bid-YTW : 5.09 %
SLF.PR.I FixedReset Ins Non -1.69 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.33
Bid-YTW : 6.63 %
TRP.PR.C FixedReset Disc -1.57 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 13.14
Evaluated at bid price : 13.14
Bid-YTW : 5.89 %
CCS.PR.C Deemed-Retractible -1.57 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 22.64
Bid-YTW : 6.22 %
BAM.PR.K Floater -1.31 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 12.09
Evaluated at bid price : 12.09
Bid-YTW : 5.73 %
TD.PF.C FixedReset Disc -1.30 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 19.05
Evaluated at bid price : 19.05
Bid-YTW : 5.13 %
CU.PR.C FixedReset Disc -1.07 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 18.55
Evaluated at bid price : 18.55
Bid-YTW : 5.31 %
SLF.PR.D Deemed-Retractible 1.02 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.85
Bid-YTW : 6.63 %
CU.PR.D Perpetual-Discount 1.02 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 22.62
Evaluated at bid price : 22.83
Bid-YTW : 5.41 %
BAM.PF.D Perpetual-Discount 1.08 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 21.59
Evaluated at bid price : 21.59
Bid-YTW : 5.70 %
BAM.PR.N Perpetual-Discount 1.10 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 21.05
Evaluated at bid price : 21.05
Bid-YTW : 5.67 %
GWO.PR.Q Deemed-Retractible 1.15 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 23.68
Bid-YTW : 5.83 %
MFC.PR.C Deemed-Retractible 1.19 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.25
Bid-YTW : 6.48 %
SLF.PR.G FixedReset Ins Non 1.23 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.85
Bid-YTW : 8.81 %
GWO.PR.G Deemed-Retractible 1.45 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 23.72
Bid-YTW : 5.86 %
PWF.PR.A Floater 1.52 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 13.40
Evaluated at bid price : 13.40
Bid-YTW : 5.22 %
HSE.PR.A FixedReset Disc 1.54 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 13.15
Evaluated at bid price : 13.15
Bid-YTW : 6.16 %
SLF.PR.E Deemed-Retractible 1.56 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.87
Bid-YTW : 6.68 %
BAM.PF.C Perpetual-Discount 1.67 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 21.35
Evaluated at bid price : 21.35
Bid-YTW : 5.71 %
GWO.PR.N FixedReset Ins Non 1.97 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 15.00
Bid-YTW : 8.48 %
MFC.PR.K FixedReset Ins Non 2.35 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 19.57
Bid-YTW : 7.05 %
Volume Highlights
Issue Index Shares
Traded
Notes
CM.PR.R FixedReset Disc 141,383 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 22.50
Evaluated at bid price : 23.18
Bid-YTW : 5.29 %
SLF.PR.H FixedReset Ins Non 122,341 YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 17.75
Bid-YTW : 7.48 %
BAM.PR.X FixedReset Disc 107,700 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 14.45
Evaluated at bid price : 14.45
Bid-YTW : 5.70 %
SLF.PR.J FloatingReset 96,600 YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.70
Bid-YTW : 9.13 %
RY.PR.H FixedReset Disc 81,122 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 19.20
Evaluated at bid price : 19.20
Bid-YTW : 5.09 %
GWO.PR.N FixedReset Ins Non 76,000 YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 15.00
Bid-YTW : 8.48 %
There were 34 other index-included issues trading in excess of 10,000 shares.
Wide Spread Highlights
Issue Index Quote Data and Yield Notes
TD.PF.D FixedReset Disc Quote: 21.01 – 22.60
Spot Rate : 1.5900
Average : 1.0451

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 21.01
Evaluated at bid price : 21.01
Bid-YTW : 5.24 %

POW.PR.A Perpetual-Discount Quote: 25.06 – 26.06
Spot Rate : 1.0000
Average : 0.6264

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 24.85
Evaluated at bid price : 25.06
Bid-YTW : 5.68 %

W.PR.H Perpetual-Premium Quote: 25.21 – 26.21
Spot Rate : 1.0000
Average : 0.6845

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 24.89
Evaluated at bid price : 25.21
Bid-YTW : 5.54 %

PWF.PR.Q FloatingReset Quote: 14.62 – 15.40
Spot Rate : 0.7800
Average : 0.4772

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 14.62
Evaluated at bid price : 14.62
Bid-YTW : 5.66 %

VNR.PR.A FixedReset Disc Quote: 21.30 – 22.69
Spot Rate : 1.3900
Average : 1.0933

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 21.30
Evaluated at bid price : 21.30
Bid-YTW : 5.34 %

BIP.PR.A FixedReset Disc Quote: 20.16 – 21.00
Spot Rate : 0.8400
Average : 0.5508

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-20
Maturity Price : 20.16
Evaluated at bid price : 20.16
Bid-YTW : 6.38 %

March 19, 2019

March 19th, 2019
HIMIPref™ Preferred Indices
These values reflect the December 2008 revision of the HIMIPref™ Indices

Values are provisional and are finalized monthly
Index Mean
Current
Yield
(at bid)
Median
YTW
Median
Average
Trading
Value
Median
Mod Dur
(YTW)
Issues Day’s Perf. Index Value
Ratchet 0.00 % 0.00 % 0 0.00 0 0.3457 % 2,129.9
FixedFloater 0.00 % 0.00 % 0 0.00 0 0.3457 % 3,908.3
Floater 5.50 % 5.64 % 45,504 14.47 3 0.3457 % 2,252.4
OpRet 0.00 % 0.00 % 0 0.00 0 -0.0446 % 3,277.7
SplitShare 4.88 % 4.67 % 73,905 3.90 8 -0.0446 % 3,914.3
Interest-Bearing 0.00 % 0.00 % 0 0.00 0 -0.0446 % 3,054.1
Perpetual-Premium 5.64 % -0.04 % 61,686 0.08 9 0.0219 % 2,921.1
Perpetual-Discount 5.44 % 5.58 % 71,866 14.41 26 0.1879 % 3,059.4
FixedReset Disc 5.16 % 5.32 % 194,392 14.92 64 0.3457 % 2,210.1
Deemed-Retractible 5.28 % 6.03 % 97,038 8.19 27 0.4647 % 3,039.8
FloatingReset 4.20 % 4.21 % 42,796 2.74 5 0.1404 % 2,407.4
FixedReset Prem 5.07 % 3.82 % 343,615 2.25 19 0.2225 % 2,571.5
FixedReset Bank Non 1.97 % 4.00 % 155,209 2.76 3 0.1112 % 2,637.0
FixedReset Ins Non 4.97 % 6.43 % 116,053 8.38 22 0.4831 % 2,267.9
Performance Highlights
Issue Index Change Notes
MFC.PR.K FixedReset Ins Non -1.60 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 19.12
Bid-YTW : 7.33 %
MFC.PR.H FixedReset Ins Non 1.03 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 22.50
Bid-YTW : 5.89 %
TD.PF.K FixedReset Disc 1.05 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 21.69
Evaluated at bid price : 22.05
Bid-YTW : 4.97 %
BMO.PR.W FixedReset Disc 1.09 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 18.60
Evaluated at bid price : 18.60
Bid-YTW : 5.20 %
MFC.PR.J FixedReset Ins Non 1.09 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.26
Bid-YTW : 6.41 %
NA.PR.A FixedReset Prem 1.17 % YTW SCENARIO
Maturity Type : Call
Maturity Date : 2021-08-15
Maturity Price : 25.00
Evaluated at bid price : 25.95
Bid-YTW : 3.98 %
IFC.PR.G FixedReset Ins Non 1.18 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.40
Bid-YTW : 6.37 %
BAM.PR.T FixedReset Disc 1.22 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 16.60
Evaluated at bid price : 16.60
Bid-YTW : 5.81 %
BMO.PR.C FixedReset Disc 1.26 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 23.02
Evaluated at bid price : 24.15
Bid-YTW : 5.02 %
BAM.PR.M Perpetual-Discount 1.26 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 20.87
Evaluated at bid price : 20.87
Bid-YTW : 5.72 %
GWO.PR.I Deemed-Retractible 1.27 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.76
Bid-YTW : 6.74 %
PWF.PR.S Perpetual-Discount 1.44 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 21.86
Evaluated at bid price : 21.86
Bid-YTW : 5.58 %
BAM.PR.B Floater 1.49 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 12.28
Evaluated at bid price : 12.28
Bid-YTW : 5.64 %
RY.PR.M FixedReset Disc 1.51 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 20.84
Evaluated at bid price : 20.84
Bid-YTW : 5.06 %
GWO.PR.T Deemed-Retractible 1.51 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 23.50
Bid-YTW : 5.92 %
SLF.PR.H FixedReset Ins Non 1.53 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 17.92
Bid-YTW : 7.36 %
BAM.PF.E FixedReset Disc 1.56 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 18.20
Evaluated at bid price : 18.20
Bid-YTW : 5.76 %
SLF.PR.C Deemed-Retractible 1.57 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.75
Bid-YTW : 6.69 %
BAM.PR.X FixedReset Disc 1.61 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 14.55
Evaluated at bid price : 14.55
Bid-YTW : 5.66 %
CCS.PR.C Deemed-Retractible 1.86 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 23.00
Bid-YTW : 6.03 %
RY.PR.J FixedReset Disc 2.14 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 21.04
Evaluated at bid price : 21.04
Bid-YTW : 5.17 %
MFC.PR.L FixedReset Ins Non 2.26 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 18.11
Bid-YTW : 7.57 %
BAM.PR.R FixedReset Disc 2.41 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 16.60
Evaluated at bid price : 16.60
Bid-YTW : 5.73 %
EMA.PR.F FixedReset Disc 2.45 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 19.20
Evaluated at bid price : 19.20
Bid-YTW : 5.59 %
BIP.PR.E FixedReset Disc 2.55 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 21.42
Evaluated at bid price : 21.75
Bid-YTW : 5.75 %
MFC.PR.C Deemed-Retractible 2.94 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.00
Bid-YTW : 6.62 %
Volume Highlights
Issue Index Shares
Traded
Notes
NA.PR.C FixedReset Disc 150,585 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 22.33
Evaluated at bid price : 22.94
Bid-YTW : 5.39 %
SLF.PR.G FixedReset Ins Non 109,595 YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.67
Bid-YTW : 8.96 %
TRP.PR.K FixedReset Disc 105,865 YTW SCENARIO
Maturity Type : Call
Maturity Date : 2022-05-31
Maturity Price : 25.00
Evaluated at bid price : 24.97
Bid-YTW : 5.07 %
MFC.PR.F FixedReset Ins Non 100,869 YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.80
Bid-YTW : 8.71 %
TRP.PR.D FixedReset Disc 76,175 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 17.98
Evaluated at bid price : 17.98
Bid-YTW : 5.64 %
TRP.PR.C FixedReset Disc 73,833 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 13.35
Evaluated at bid price : 13.35
Bid-YTW : 5.80 %
There were 35 other index-included issues trading in excess of 10,000 shares.
Wide Spread Highlights
Issue Index Quote Data and Yield Notes
IAF.PR.I FixedReset Ins Non Quote: 21.40 – 22.50
Spot Rate : 1.1000
Average : 0.7050

YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.40
Bid-YTW : 6.43 %

SLF.PR.A Deemed-Retractible Quote: 21.80 – 22.25
Spot Rate : 0.4500
Average : 0.2905

YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.80
Bid-YTW : 6.42 %

CM.PR.Q FixedReset Disc Quote: 20.56 – 21.00
Spot Rate : 0.4400
Average : 0.2904

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-19
Maturity Price : 20.56
Evaluated at bid price : 20.56
Bid-YTW : 5.34 %

SLF.PR.E Deemed-Retractible Quote: 20.55 – 21.05
Spot Rate : 0.5000
Average : 0.3530

YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.55
Bid-YTW : 6.87 %

IAF.PR.G FixedReset Ins Non Quote: 20.40 – 20.85
Spot Rate : 0.4500
Average : 0.3510

YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.40
Bid-YTW : 6.63 %

SLF.PR.G FixedReset Ins Non Quote: 14.67 – 14.97
Spot Rate : 0.3000
Average : 0.2038

YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.67
Bid-YTW : 8.96 %

AIM.PR.C : No Conversion to FloatingReset

March 19th, 2019

Aimia Inc. has announced:

that none of its 6,000,000 Cumulative Rate Reset Preferred Shares, Series 3 (the “Series 3 Shares”) will be converted into Cumulative Floating Rate Preferred Shares, Series 4 (the “Series 4 Shares”) on April 1, 2019. During the conversion notice period, which commenced on March 4, 2019 and ended at 5:00 p.m. (Montreal time) on March 18, 2019, 65,624 Series 3 Shares were tendered for conversion into Series 4 Shares. In accordance with the rights, privileges, restrictions and conditions attaching to the Series 3 Shares and the Series 4 Shares, since there would be less than 1,000,000 Series 4 Shares outstanding on April 1, 2019, after having taken into account all Series 3 Shares tendered for conversion into Series 4 Shares, holders of Series 3 Shares who elected to tender their shares for conversion will not have their Series 3 Shares converted into Series 4 Shares on April 1, 2019. As a result, no Series 4 Shares will be issued on April 1, 2019.

It will be recalled that AIM.PR.C will reset at 6.011% effective March 31, 2019 (not 6.01%, as stated in the original press release).

AIM.PR.C is a FixedReset, 6.25%+420, that commenced trading 2014-1-15 after being announced 2014-1-6. The extension was announced 2019-2-26. I recommended against conversion. The issue is tracked by HIMIPref™ but relegated to the Scraps-FixedReset (Discount) subindex on credit concerns.

Aimia suspended preferred share dividends in June, 2017. DBRS downgraded the preferreds to Pfd-5(high) in August, 2017, and currently has them under review with developing implications. S&P declared that it considered the preferred shares to be in default in June, 2018. On February 26, 2019, Aimia announced it would be paying the accrued dividends. On March 1, S&P upgraded the credit rating to P-4(low) and discontinued the rating.

March 18, 2019

March 18th, 2019

Assiduous Readers will remember that Manulife was bailed out by the regulators again after a hedge fund claimed the terms of its contract with the firm allowed it to deposit unlimited funds with the firm at a guaranteed rate of up to 5%.

It turns out the bail-out was unnecessary! Manulife won the court case:

Manulife Financial Corp. says a Saskatchewan court has ruled in its favour in its legal fight with hedge fund Mosten Investment LP over insurance contracts.

Mosten had argued that under the terms of the universal life insurance policy, it could deposit an unlimited amount of money and receive an annualized guaranteed return of at least four per cent with one-month liquidity.

However, Manulife says the ruling by the Saskatchewan Court of Queen’s Bench found the policy in question “does not provide for unlimited stand-alone investment opportunities within the carrier fund.”

Still, it has been a useful episode: we now have increased assurance that regulators will not allow Manulife to go bankrupt. Moral hazard, anyone?

Ian Bandeen makes a good point about how the banks’ hegemony over the Canadian financial system hurts us all:

Likely unwittingly, the securities regulators have worked in almost perfect alignment with the dominant bank oligopoly to effectively shut down the efficient provision of early-stage, high-risk, capital to our innovators and fledgling companies. Industry leaders have been trying to warn us of this phenomenon for some time.

The problems really started in the 1980s when we permitted the banks to buy out the then-independent investment dealers. The significant culture clashes were systematically paved over as the banks increasingly asserted their comparatively risk-adverse approach to the investment business, one division at a time. Typically, it was the equity capital markets trading operations and the corporate finance M&A businesses that were the last to be subsumed.

Initially resistant to the anti-risk culture of their parent commercial banks, the investment subsidiaries began to realize that their new owners were well practised at the art of being heavily regulated and had whole departments dedicated to servicing and dealing with regulators. Instead of pushing back against excessive regulation, they came to see the competitive advantage of having regulatory-centric resources relative to their non-bank-owned competitors.

None of this bodes well for our junior markets. Without rising new stars, the traditional “blue-chip” companies will start to hollow out. Witness the recent de-Canadianization of some of our former, world-leading‎ gold companies. Where will their replacements come from? Without funding and capital markets support, the innovation continuum will be broken and Canada will lose so much of its potential.

Perhaps the time has come for a serious rethink of what the fundamental goals of securities regulation should be, coupled with a holistic review of whether our current facilities and regimes are actually helping or hindering our attainment of same. It may be time to start thinking outside the box in which we have unwittingly cornered ourselves. Doing nothing is no longer an option and our early-stage entrepreneurs need political assistance before they get lost in the paper shuffle orchestrated by the dominant banks and their regulators.

The obvious answer is: break up the banks. This bloated oligarchy is detrimental to our prosperity … and one day, some day, will break down completely. And, with respect to the point of securities regulation … I hope that at least one or two Assiduous Readers will remember my exhortations to remember that the point of public securities markets is not to ‘provide good, safe returns to Canadians’ or to ‘assist retirement planning’ or any such other incidental trivia. The point of securities markets is to move money from individual savers to corporate capital investment and all regulation should be examined through that lens.

HIMIPref™ Preferred Indices
These values reflect the December 2008 revision of the HIMIPref™ Indices

Values are provisional and are finalized monthly
Index Mean
Current
Yield
(at bid)
Median
YTW
Median
Average
Trading
Value
Median
Mod Dur
(YTW)
Issues Day’s Perf. Index Value
Ratchet 0.00 % 0.00 % 0 0.00 0 -0.6867 % 2,122.6
FixedFloater 0.00 % 0.00 % 0 0.00 0 -0.6867 % 3,894.9
Floater 5.52 % 5.65 % 45,598 14.45 3 -0.6867 % 2,244.6
OpRet 0.00 % 0.00 % 0 0.00 0 0.1242 % 3,279.2
SplitShare 4.87 % 4.63 % 71,868 3.90 8 0.1242 % 3,916.0
Interest-Bearing 0.00 % 0.00 % 0 0.00 0 0.1242 % 3,055.5
Perpetual-Premium 5.64 % -0.23 % 60,118 0.08 9 0.0263 % 2,920.5
Perpetual-Discount 5.45 % 5.61 % 72,870 14.40 26 0.0599 % 3,053.7
FixedReset Disc 5.18 % 5.32 % 201,155 14.92 64 0.2256 % 2,202.4
Deemed-Retractible 5.30 % 6.06 % 101,005 8.18 27 0.1219 % 3,025.7
FloatingReset 4.20 % 4.22 % 44,355 2.74 5 -0.1725 % 2,404.0
FixedReset Prem 5.08 % 3.91 % 325,612 2.24 19 0.0838 % 2,565.8
FixedReset Bank Non 1.98 % 3.99 % 156,960 2.76 3 0.1811 % 2,634.1
FixedReset Ins Non 4.99 % 6.54 % 117,624 8.36 22 0.3958 % 2,257.0
Performance Highlights
Issue Index Change Notes
MFC.PR.C Deemed-Retractible -2.21 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.40
Bid-YTW : 6.98 %
EMA.PR.F FixedReset Disc -2.14 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 18.74
Evaluated at bid price : 18.74
Bid-YTW : 5.73 %
MFC.PR.L FixedReset Ins Non -2.10 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 17.71
Bid-YTW : 7.84 %
CCS.PR.C Deemed-Retractible -1.83 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 22.58
Bid-YTW : 6.25 %
BAM.PF.C Perpetual-Discount -1.50 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 20.98
Evaluated at bid price : 20.98
Bid-YTW : 5.81 %
PWF.PR.A Floater -1.49 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 13.25
Evaluated at bid price : 13.25
Bid-YTW : 5.28 %
RY.PR.J FixedReset Disc -1.44 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 20.60
Evaluated at bid price : 20.60
Bid-YTW : 5.28 %
RY.PR.M FixedReset Disc -1.30 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 20.53
Evaluated at bid price : 20.53
Bid-YTW : 5.13 %
CU.PR.H Perpetual-Discount -1.20 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 24.25
Evaluated at bid price : 24.75
Bid-YTW : 5.33 %
BAM.PR.M Perpetual-Discount -1.10 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 20.61
Evaluated at bid price : 20.61
Bid-YTW : 5.79 %
SLF.PR.J FloatingReset -1.08 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.60
Bid-YTW : 9.21 %
GWO.PR.T Deemed-Retractible -1.07 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 23.15
Bid-YTW : 6.10 %
NA.PR.E FixedReset Disc -1.07 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 20.40
Evaluated at bid price : 20.40
Bid-YTW : 5.32 %
GWO.PR.N FixedReset Ins Non -1.01 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 14.70
Bid-YTW : 8.71 %
TD.PF.C FixedReset Disc 1.05 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 19.21
Evaluated at bid price : 19.21
Bid-YTW : 5.09 %
BAM.PF.G FixedReset Disc 1.07 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 19.86
Evaluated at bid price : 19.86
Bid-YTW : 5.63 %
SLF.PR.I FixedReset Ins Non 1.08 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.50
Bid-YTW : 6.53 %
TRP.PR.D FixedReset Disc 1.13 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 17.95
Evaluated at bid price : 17.95
Bid-YTW : 5.65 %
RY.PR.S FixedReset Disc 1.13 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 21.85
Evaluated at bid price : 22.30
Bid-YTW : 4.73 %
HSE.PR.C FixedReset Disc 1.15 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 19.18
Evaluated at bid price : 19.18
Bid-YTW : 6.20 %
HSE.PR.A FixedReset Disc 1.15 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 13.02
Evaluated at bid price : 13.02
Bid-YTW : 6.22 %
IAF.PR.B Deemed-Retractible 1.20 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.17
Bid-YTW : 6.61 %
BMO.PR.D FixedReset Disc 1.35 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 22.51
Evaluated at bid price : 23.20
Bid-YTW : 5.08 %
SLF.PR.D Deemed-Retractible 1.38 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.64
Bid-YTW : 6.75 %
BAM.PR.N Perpetual-Discount 1.42 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 20.65
Evaluated at bid price : 20.65
Bid-YTW : 5.78 %
RY.PR.H FixedReset Disc 1.50 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 19.65
Evaluated at bid price : 19.65
Bid-YTW : 4.98 %
BNS.PR.I FixedReset Disc 1.71 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 22.40
Evaluated at bid price : 23.21
Bid-YTW : 4.60 %
NA.PR.G FixedReset Disc 1.80 % YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 21.69
Evaluated at bid price : 22.05
Bid-YTW : 5.18 %
GWO.PR.P Deemed-Retractible 1.90 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 24.61
Bid-YTW : 5.60 %
GWO.PR.I Deemed-Retractible 2.14 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 20.50
Bid-YTW : 6.89 %
MFC.PR.K FixedReset Ins Non 2.21 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 19.43
Bid-YTW : 7.13 %
IAF.PR.I FixedReset Ins Non 2.88 % YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.40
Bid-YTW : 6.42 %
Volume Highlights
Issue Index Shares
Traded
Notes
TRP.PR.K FixedReset Disc 161,335 YTW SCENARIO
Maturity Type : Call
Maturity Date : 2022-05-31
Maturity Price : 25.00
Evaluated at bid price : 25.05
Bid-YTW : 4.95 %
MFC.PR.K FixedReset Ins Non 55,208 YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 19.43
Bid-YTW : 7.13 %
IFC.PR.F Deemed-Retractible 53,007 YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 23.52
Bid-YTW : 6.06 %
BAM.PF.F FixedReset Disc 51,813 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 20.45
Evaluated at bid price : 20.45
Bid-YTW : 5.49 %
BAM.PF.G FixedReset Disc 50,416 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 19.86
Evaluated at bid price : 19.86
Bid-YTW : 5.63 %
NA.PR.G FixedReset Disc 36,167 YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 21.69
Evaluated at bid price : 22.05
Bid-YTW : 5.18 %
There were 32 other index-included issues trading in excess of 10,000 shares.
Wide Spread Highlights
Issue Index Quote Data and Yield Notes
MFC.PR.K FixedReset Ins Non Quote: 19.43 – 23.99
Spot Rate : 4.5600
Average : 2.5756

YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 19.43
Bid-YTW : 7.13 %

MFC.PR.G FixedReset Ins Non Quote: 21.10 – 25.00
Spot Rate : 3.9000
Average : 2.1261

YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 21.10
Bid-YTW : 6.36 %

MFC.PR.N FixedReset Ins Non Quote: 18.54 – 22.15
Spot Rate : 3.6100
Average : 2.0494

YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2030-01-31
Maturity Price : 25.00
Evaluated at bid price : 18.54
Bid-YTW : 7.44 %

VNR.PR.A FixedReset Disc Quote: 21.25 – 22.69
Spot Rate : 1.4400
Average : 0.8536

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 21.25
Evaluated at bid price : 21.25
Bid-YTW : 5.35 %

W.PR.H Perpetual-Premium Quote: 25.21 – 26.21
Spot Rate : 1.0000
Average : 0.5564

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 24.89
Evaluated at bid price : 25.21
Bid-YTW : 5.54 %

TD.PF.D FixedReset Disc Quote: 21.60 – 22.60
Spot Rate : 1.0000
Average : 0.5985

YTW SCENARIO
Maturity Type : Limit Maturity
Maturity Date : 2049-03-18
Maturity Price : 21.31
Evaluated at bid price : 21.60
Bid-YTW : 5.07 %