RY.PR.C Off to a Fine Start!

The new Royal Bank 4.6% perpetuals were off to a good start today, trading 239,875 shares in a range of 25.15-25 to close at $25.16-18, 3×13.

The reorg entry has been processed on HIMIPref™: the pre-issue code was P50006, the new security code is A45012.

I’ll update this post with some comments about valuation when I update HIMIPref™ with today’s closing quotations later tonight.

Update : The issue still looks attractive at the closing quotation. Consider the YTWs of the other Royal Perpetual issues that are outstanding (except for the soon to be redeemed RY.PR.O:

Issue Pre-tax YTW Quote “Taxable Curve” Price
RY.PR.A 4.47% 24.84-91 24.97
RY.PR.B 4.30% 25.70-75 25.83
RY.PR.C 4.54% 25.16-18 25.59
RY.PR.W 4.07% 26.27-55 25.89

So, it’s my guess there’s still a little value left in this issue!

6 Responses to “RY.PR.C Off to a Fine Start!”

  1. […] A steady day for the new issue: it closed a little better than yesterday at 25.18-22, 3×50 […]

  2. […] Basically, the thing looks pretty good … priced to move! I’ll also note that it yields 10bp more (at issue) than the recently issued RY.PR.C, in terms of PRE-TAX DIVIDENDS, which is about right considering that the credit spread for “Low” is 11bp AFTER TAX. […]

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