It was a good day for oil:
Canada’s main stock index rose on Thursday, led by energy shares as crude prices posted their biggest-one day gains on record on Thursday.
The Toronto Stock Exchange’s S&P/TSX Composite index finished unofficially up 221.39 points, or 1.72%, at 13,097.76.
Nine of the index’s 11 major sectors were higher, led by the energy sector, which climbed 9.3%.
…
Crude prices posted their biggest-one day gains on record on Thursday after President Donald Trump said he expects Russia and Saudi Arabia to announce a major oil production cut, and Saudi state media said the kingdom was calling an emergency meeting of producers to deal with the market turmoil.Trump said he had spoken to Saudi Crown Prince Mohammed bin Salman, and expects Saudi Arabia and Russia to cut oil output by as much as 10 million to 15 million barrels, as the two countries signaled willingness to make a deal.
…
Brent soared as much as 47% during the session, its highest intraday percentage gain ever. WTI jumped as much as 35%, its second highest ever, after an intraday gain of 36% on March 19.Oil prices pulled back from those highs as traders questioned whether Russia and Saudi Arabia could actually agree on such a big production cut.
A senior administration official told Reuters the United States does not know formal details of Saudi Arabian and Russian plans to reduce oil supply yet and will not ask U.S. domestic oil producers to chip in with their own cuts.
An article in the Globe is titled Why Canada’s banks have no plans to suspend dividends despite a global trend of cuts which has been a hot topic lately:
Canadian bank CEOs insist they will keep paying dividends, even as banks around the world have axed payouts under pressure from regulators to preserve capital within the banking system.
…
On Wednesday, the United Kingdom’s largest banks bowed to pressure from Britain’s financial regulator and suspended dividend payments. Several large European Banks, including Italy’s UniCredit and Dutch bank ING Group have also halted after a request from the European Banking Authority, and Mexico’s financial regulator followed suit on Thursday, saying that “it’s impossible to estimate how deep and how long the economic effects of the pandemic will be.”Canada’s Office of the Superintendent of Financial Institutions, has told domestic banks not to increase dividends or buy back shares, but has made no effort to reduce payouts. And so far, bank executives are telling investors not to worry.
…
Banks are facing significant pressure from an anticipated spike in loan losses in the long run, as well as widespread demand from companies to draw down funds on credit lines immediately. But bankers and regulators are keenly aware that bank stocks are widely held by millions of Canadians, some of whom depend on them as retirement income. Some worry that cutting off dividends could worsen the economic hardship from the crisis.“About 77 [per cent] to 80 per cent of our shareholders are Canadian, either institutional or retail, so the construct of our shareholder base is very different than would be a European bank,” said Bank of Nova Scotia CEO Brian Porter on Tuesday. Mr. Porter and Bank of Montreal CEO Darryl White both said they have no plans to slash their banks’ dividends.
…
And Canadian banks are in a different position politically, after some British banks needed government bailouts in the last crisis, said Laurence Booth, professor of finance at the University of Toronto’s Rotman School of Management.“The Canadian banks do not have the bad reputation that the European and the U.K. banks have got, so it’s not like the government can lean on them and say, ‘Look, we’ve bailed you out, you’re bad guys, do what we say, you’ve got to rebuild your reputation,'” Mr. Booth said. “So that moral suasion component is missing in Canada.”
For what it’s worth, here was my response to a client inquiry:
I don’t think a governmentally requested suspension of bank dividends is in the cards.
Firstly, I don’t really see a good reason for it.
Secondly, bank stocks are the bedrock of a great many retirement portfolios and conniving at a suspension of the income would bring the government a great deal of grief.
Thirdly, the TSX/S&P index is about 32% Financials (see LINK ) compared to about 20% for the FTSE (see LINK ), a paltry 1.6% (!) in NZ, and 9.4% banks in Europe (with an additional 5.9% in insurance; see LINK ). You have probably read some of my rants about the harmful effects on Canada of having such a bloated financial sector … there’s a global comparison for you! And in this instance, bank dividends are ‘too big to fail’!
I’m not going to say it won’t ever happen. But I will say that we are not even close to the point where the possibility of mass suspension needs to be taken seriously.
I forgot to give him the link for the New Zealand data; such is life. I believe that in New Zealand they settle payments with sacks of wool and quarts of milk (“That’ll be three sacks and two quarts, ma’am”), but I may be wrong on that.
TXPR closed at 463.03, up 1.07% on the day. Volume today was 3.26-million, low in the context of the past thirty days but highest since March 26.
CPD closed at 9.21, up 2.22% on the day. Volume was 93,827, second-lowest of the past 30 trading days and only slightly more than the low set on April 1.
ZPR closed at 7.25, up 2.84% on the day. Volume of 364,785 was fourth-lowest of the past 30 trading days.
Five-year Canada yields were up 4bp to 0.58% today.
| 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 | 1.1996 % | 1,361.8 |
| FixedFloater | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 1.1996 % | 2,498.8 |
| Floater | 5.65 % | 5.69 % | 46,488 | 14.41 | 4 | 1.1996 % | 1,440.1 |
| OpRet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.4902 % | 3,122.3 |
| SplitShare | 5.32 % | 7.34 % | 84,521 | 3.95 | 7 | 0.4902 % | 3,728.7 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.4902 % | 2,909.3 |
| Perpetual-Premium | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 1.1795 % | 2,547.6 |
| Perpetual-Discount | 6.54 % | 6.87 % | 92,739 | 12.72 | 35 | 1.1795 % | 2,732.6 |
| FixedReset Disc | 7.25 % | 6.29 % | 204,087 | 13.08 | 83 | 1.5563 % | 1,555.0 |
| Deemed-Retractible | 6.28 % | 6.94 % | 104,102 | 12.65 | 27 | 0.7935 % | 2,693.7 |
| FloatingReset | 3.24 % | 1.26 % | 33,555 | 1.80 | 4 | 0.8507 % | 1,650.4 |
| FixedReset Prem | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 1.5563 % | 2,150.6 |
| FixedReset Bank Non | 1.99 % | 5.22 % | 120,569 | 1.77 | 3 | 0.7478 % | 2,666.5 |
| FixedReset Ins Non | 7.66 % | 6.70 % | 115,039 | 12.68 | 22 | 1.5349 % | 1,537.7 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| RY.PR.M | FixedReset Disc | -3.77 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.01 Evaluated at bid price : 13.01 Bid-YTW : 6.26 % |
| BAM.PF.F | FixedReset Disc | -3.70 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.00 Evaluated at bid price : 13.00 Bid-YTW : 6.99 % |
| BAM.PR.X | FixedReset Disc | -2.70 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 9.00 Evaluated at bid price : 9.00 Bid-YTW : 6.79 % |
| BIK.PR.A | FixedReset Disc | -2.50 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 21.06 Evaluated at bid price : 21.06 Bid-YTW : 7.01 % |
| BMO.PR.Z | Perpetual-Discount | -2.33 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 21.00 Evaluated at bid price : 21.00 Bid-YTW : 6.04 % |
| PWF.PR.P | FixedReset Disc | -2.17 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 9.01 Evaluated at bid price : 9.01 Bid-YTW : 6.16 % |
| RY.PR.R | FixedReset Disc | -2.12 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 22.22 Evaluated at bid price : 22.61 Bid-YTW : 6.02 % |
| BIP.PR.D | FixedReset Disc | -1.97 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 17.45 Evaluated at bid price : 17.45 Bid-YTW : 7.23 % |
| NA.PR.X | FixedReset Disc | -1.90 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 20.70 Evaluated at bid price : 20.70 Bid-YTW : 6.74 % |
| BMO.PR.B | FixedReset Disc | -1.83 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 18.80 Evaluated at bid price : 18.80 Bid-YTW : 6.29 % |
| W.PR.K | FixedReset Disc | -1.75 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 19.70 Evaluated at bid price : 19.70 Bid-YTW : 6.70 % |
| BIP.PR.B | FixedReset Disc | -1.74 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 19.75 Evaluated at bid price : 19.75 Bid-YTW : 7.02 % |
| BAM.PF.G | FixedReset Disc | -1.23 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 12.85 Evaluated at bid price : 12.85 Bid-YTW : 6.69 % |
| IFC.PR.G | FixedReset Ins Non | -1.21 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.10 Evaluated at bid price : 13.10 Bid-YTW : 6.72 % |
| IFC.PR.F | Deemed-Retractible | -1.16 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 20.51 Evaluated at bid price : 20.51 Bid-YTW : 6.51 % |
| BAM.PR.Z | FixedReset Disc | -1.08 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.73 Evaluated at bid price : 13.73 Bid-YTW : 6.86 % |
| BIP.PR.C | FixedReset Disc | -1.05 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 18.80 Evaluated at bid price : 18.80 Bid-YTW : 7.18 % |
| BAM.PF.J | FixedReset Disc | -1.02 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 19.50 Evaluated at bid price : 19.50 Bid-YTW : 6.14 % |
| MFC.PR.B | Deemed-Retractible | 1.01 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 17.93 Evaluated at bid price : 17.93 Bid-YTW : 6.55 % |
| ELF.PR.G | Perpetual-Discount | 1.04 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 17.43 Evaluated at bid price : 17.43 Bid-YTW : 6.85 % |
| TRP.PR.H | FloatingReset | 1.05 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 7.68 Evaluated at bid price : 7.68 Bid-YTW : 4.88 % |
| MFC.PR.Q | FixedReset Ins Non | 1.06 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.39 Evaluated at bid price : 13.39 Bid-YTW : 6.50 % |
| IFC.PR.A | FixedReset Ins Non | 1.06 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 9.50 Evaluated at bid price : 9.50 Bid-YTW : 6.59 % |
| ELF.PR.H | Perpetual-Discount | 1.07 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 19.92 Evaluated at bid price : 19.92 Bid-YTW : 6.94 % |
| RY.PR.G | Deemed-Retractible | 1.10 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 23.80 Bid-YTW : 7.68 % |
| PWF.PR.I | Perpetual-Discount | 1.17 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 22.13 Evaluated at bid price : 22.41 Bid-YTW : 6.83 % |
| TD.PF.L | FixedReset Disc | 1.18 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 17.10 Evaluated at bid price : 17.10 Bid-YTW : 6.26 % |
| BAM.PR.B | Floater | 1.20 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 7.59 Evaluated at bid price : 7.59 Bid-YTW : 5.69 % |
| CM.PR.T | FixedReset Disc | 1.20 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 16.80 Evaluated at bid price : 16.80 Bid-YTW : 6.27 % |
| RY.PR.F | Deemed-Retractible | 1.24 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 23.66 Bid-YTW : 7.98 % |
| GWO.PR.M | Deemed-Retractible | 1.26 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 20.90 Evaluated at bid price : 20.90 Bid-YTW : 7.00 % |
| RY.PR.J | FixedReset Disc | 1.34 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 14.40 Evaluated at bid price : 14.40 Bid-YTW : 5.83 % |
| CU.PR.H | Perpetual-Discount | 1.43 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 20.61 Evaluated at bid price : 20.61 Bid-YTW : 6.46 % |
| TD.PF.M | FixedReset Disc | 1.46 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 18.01 Evaluated at bid price : 18.01 Bid-YTW : 6.23 % |
| BMO.PR.F | FixedReset Disc | 1.48 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 17.77 Evaluated at bid price : 17.77 Bid-YTW : 6.21 % |
| EIT.PR.A | SplitShare | 1.50 % | YTW SCENARIO Maturity Type : Soft Maturity Maturity Date : 2024-03-14 Maturity Price : 25.00 Evaluated at bid price : 23.00 Bid-YTW : 7.28 % |
| BMO.PR.E | FixedReset Disc | 1.55 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 15.05 Evaluated at bid price : 15.05 Bid-YTW : 6.10 % |
| BIP.PR.F | FixedReset Disc | 1.55 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 17.01 Evaluated at bid price : 17.01 Bid-YTW : 7.57 % |
| RY.PR.C | Deemed-Retractible | 1.60 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 24.07 Bid-YTW : 7.13 % |
| BAM.PR.R | FixedReset Disc | 1.61 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 10.75 Evaluated at bid price : 10.75 Bid-YTW : 6.76 % |
| BNS.PR.I | FixedReset Disc | 1.64 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 15.51 Evaluated at bid price : 15.51 Bid-YTW : 5.64 % |
| GWO.PR.T | Deemed-Retractible | 1.64 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 18.60 Evaluated at bid price : 18.60 Bid-YTW : 6.98 % |
| CU.PR.G | Perpetual-Discount | 1.75 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 18.06 Evaluated at bid price : 18.06 Bid-YTW : 6.32 % |
| BAM.PF.E | FixedReset Disc | 1.76 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 12.17 Evaluated at bid price : 12.17 Bid-YTW : 6.77 % |
| TD.PF.I | FixedReset Disc | 1.76 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 15.02 Evaluated at bid price : 15.02 Bid-YTW : 6.35 % |
| PVS.PR.H | SplitShare | 1.76 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2027-02-28 Maturity Price : 25.00 Evaluated at bid price : 22.50 Bid-YTW : 6.62 % |
| TRP.PR.E | FixedReset Disc | 1.77 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 11.50 Evaluated at bid price : 11.50 Bid-YTW : 6.90 % |
| PWF.PR.R | Perpetual-Discount | 1.86 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 20.27 Evaluated at bid price : 20.27 Bid-YTW : 6.93 % |
| PWF.PR.Z | Perpetual-Discount | 1.87 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 19.05 Evaluated at bid price : 19.05 Bid-YTW : 6.91 % |
| NA.PR.G | FixedReset Disc | 1.92 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 14.32 Evaluated at bid price : 14.32 Bid-YTW : 6.62 % |
| BMO.PR.Q | FixedReset Bank Non | 1.94 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 22.65 Bid-YTW : 7.50 % |
| BMO.PR.S | FixedReset Disc | 1.95 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 12.56 Evaluated at bid price : 12.56 Bid-YTW : 6.37 % |
| CU.PR.E | Perpetual-Discount | 1.99 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 19.50 Evaluated at bid price : 19.50 Bid-YTW : 6.37 % |
| MFC.PR.J | FixedReset Ins Non | 2.00 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.26 Evaluated at bid price : 13.26 Bid-YTW : 6.63 % |
| SLF.PR.D | Deemed-Retractible | 2.02 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 17.21 Evaluated at bid price : 17.21 Bid-YTW : 6.52 % |
| RY.PR.S | FixedReset Disc | 2.03 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 15.61 Evaluated at bid price : 15.61 Bid-YTW : 5.48 % |
| MFC.PR.N | FixedReset Ins Non | 2.04 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 12.01 Evaluated at bid price : 12.01 Bid-YTW : 6.04 % |
| PWF.PR.S | Perpetual-Discount | 2.06 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 17.86 Evaluated at bid price : 17.86 Bid-YTW : 6.87 % |
| CM.PR.P | FixedReset Disc | 2.06 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 12.38 Evaluated at bid price : 12.38 Bid-YTW : 6.37 % |
| PWF.PR.K | Perpetual-Discount | 2.12 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 18.30 Evaluated at bid price : 18.30 Bid-YTW : 6.91 % |
| BAM.PF.A | FixedReset Disc | 2.20 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 14.40 Evaluated at bid price : 14.40 Bid-YTW : 6.70 % |
| MFC.PR.H | FixedReset Ins Non | 2.23 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.75 Evaluated at bid price : 13.75 Bid-YTW : 6.95 % |
| PWF.PR.E | Perpetual-Discount | 2.25 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 20.45 Evaluated at bid price : 20.45 Bid-YTW : 6.87 % |
| GWO.PR.I | Deemed-Retractible | 2.25 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 16.36 Evaluated at bid price : 16.36 Bid-YTW : 6.94 % |
| BMO.PR.D | FixedReset Disc | 2.26 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 15.40 Evaluated at bid price : 15.40 Bid-YTW : 6.34 % |
| CU.PR.D | Perpetual-Discount | 2.29 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 19.64 Evaluated at bid price : 19.64 Bid-YTW : 6.33 % |
| GWO.PR.H | Deemed-Retractible | 2.35 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 18.26 Evaluated at bid price : 18.26 Bid-YTW : 6.70 % |
| IAF.PR.I | FixedReset Ins Non | 2.38 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.35 Evaluated at bid price : 13.35 Bid-YTW : 6.81 % |
| CM.PR.Q | FixedReset Disc | 2.49 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 12.35 Evaluated at bid price : 12.35 Bid-YTW : 6.83 % |
| IFC.PR.E | Deemed-Retractible | 2.50 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 20.50 Evaluated at bid price : 20.50 Bid-YTW : 6.39 % |
| MFC.PR.K | FixedReset Ins Non | 2.53 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 12.17 Evaluated at bid price : 12.17 Bid-YTW : 6.54 % |
| PWF.PR.F | Perpetual-Discount | 2.54 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 19.40 Evaluated at bid price : 19.40 Bid-YTW : 6.91 % |
| NA.PR.S | FixedReset Disc | 2.61 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 12.57 Evaluated at bid price : 12.57 Bid-YTW : 6.59 % |
| TD.PF.A | FixedReset Disc | 2.68 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.04 Evaluated at bid price : 13.04 Bid-YTW : 5.96 % |
| CM.PR.O | FixedReset Disc | 2.71 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 12.14 Evaluated at bid price : 12.14 Bid-YTW : 6.44 % |
| TRP.PR.F | FloatingReset | 2.74 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 9.00 Evaluated at bid price : 9.00 Bid-YTW : 5.96 % |
| EML.PR.A | FixedReset Ins Non | 2.90 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 20.20 Evaluated at bid price : 20.20 Bid-YTW : 6.93 % |
| NA.PR.E | FixedReset Disc | 2.96 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.90 Evaluated at bid price : 13.90 Bid-YTW : 6.30 % |
| TRP.PR.G | FixedReset Disc | 3.13 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.51 Evaluated at bid price : 13.51 Bid-YTW : 6.66 % |
| RY.PR.Z | FixedReset Disc | 3.13 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.18 Evaluated at bid price : 13.18 Bid-YTW : 5.79 % |
| BMO.PR.C | FixedReset Disc | 3.13 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 15.80 Evaluated at bid price : 15.80 Bid-YTW : 6.40 % |
| CU.PR.C | FixedReset Disc | 3.17 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.00 Evaluated at bid price : 13.00 Bid-YTW : 5.90 % |
| CU.PR.F | Perpetual-Discount | 3.24 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 18.50 Evaluated at bid price : 18.50 Bid-YTW : 6.17 % |
| MFC.PR.R | FixedReset Ins Non | 3.25 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 16.52 Evaluated at bid price : 16.52 Bid-YTW : 6.82 % |
| BNS.PR.H | FixedReset Disc | 3.25 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 20.00 Evaluated at bid price : 20.00 Bid-YTW : 6.09 % |
| TRP.PR.J | FixedReset Disc | 3.29 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 21.78 Evaluated at bid price : 22.26 Bid-YTW : 6.24 % |
| BAM.PR.K | Floater | 3.31 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 7.50 Evaluated at bid price : 7.50 Bid-YTW : 5.76 % |
| BMO.PR.Y | FixedReset Disc | 3.33 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.02 Evaluated at bid price : 13.02 Bid-YTW : 6.42 % |
| SLF.PR.E | Deemed-Retractible | 3.39 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 17.10 Evaluated at bid price : 17.10 Bid-YTW : 6.63 % |
| TD.PF.B | FixedReset Disc | 3.54 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.16 Evaluated at bid price : 13.16 Bid-YTW : 5.94 % |
| CM.PR.S | FixedReset Disc | 3.58 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.32 Evaluated at bid price : 13.32 Bid-YTW : 6.20 % |
| TD.PF.K | FixedReset Disc | 3.59 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 15.02 Evaluated at bid price : 15.02 Bid-YTW : 5.97 % |
| TD.PF.C | FixedReset Disc | 3.83 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.30 Evaluated at bid price : 13.30 Bid-YTW : 6.04 % |
| NA.PR.A | FixedReset Disc | 3.90 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 20.50 Evaluated at bid price : 20.50 Bid-YTW : 6.51 % |
| SLF.PR.I | FixedReset Ins Non | 3.92 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.25 Evaluated at bid price : 13.25 Bid-YTW : 6.38 % |
| TRP.PR.K | FixedReset Disc | 4.00 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 20.28 Evaluated at bid price : 20.28 Bid-YTW : 6.13 % |
| TD.PF.J | FixedReset Disc | 4.08 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 15.30 Evaluated at bid price : 15.30 Bid-YTW : 5.91 % |
| BMO.PR.T | FixedReset Disc | 4.56 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 12.62 Evaluated at bid price : 12.62 Bid-YTW : 6.09 % |
| RY.PR.H | FixedReset Disc | 4.72 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.31 Evaluated at bid price : 13.31 Bid-YTW : 5.81 % |
| BMO.PR.W | FixedReset Disc | 4.73 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 12.84 Evaluated at bid price : 12.84 Bid-YTW : 6.11 % |
| TD.PF.E | FixedReset Disc | 4.79 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 14.21 Evaluated at bid price : 14.21 Bid-YTW : 6.19 % |
| CM.PR.Y | FixedReset Disc | 5.07 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 17.60 Evaluated at bid price : 17.60 Bid-YTW : 6.35 % |
| TRP.PR.D | FixedReset Disc | 5.95 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 11.75 Evaluated at bid price : 11.75 Bid-YTW : 6.82 % |
| NA.PR.C | FixedReset Disc | 5.98 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 15.42 Evaluated at bid price : 15.42 Bid-YTW : 6.74 % |
| MFC.PR.G | FixedReset Ins Non | 6.00 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.26 Evaluated at bid price : 13.26 Bid-YTW : 6.70 % |
| CM.PR.R | FixedReset Disc | 6.49 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 15.25 Evaluated at bid price : 15.25 Bid-YTW : 6.61 % |
| TRP.PR.A | FixedReset Disc | 6.83 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 10.95 Evaluated at bid price : 10.95 Bid-YTW : 6.39 % |
| TD.PF.D | FixedReset Disc | 9.30 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 14.10 Evaluated at bid price : 14.10 Bid-YTW : 6.08 % |
| TRP.PR.B | FixedReset Disc | 10.00 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 7.70 Evaluated at bid price : 7.70 Bid-YTW : 6.05 % |
| IFC.PR.I | Perpetual-Discount | 11.05 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 21.93 Evaluated at bid price : 22.21 Bid-YTW : 6.16 % |
| BAM.PR.T | FixedReset Disc | 18.85 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 10.72 Evaluated at bid price : 10.72 Bid-YTW : 6.96 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| TRP.PR.F | FloatingReset | 430,808 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 9.00 Evaluated at bid price : 9.00 Bid-YTW : 5.96 % |
| PWF.PR.Z | Perpetual-Discount | 162,500 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 19.05 Evaluated at bid price : 19.05 Bid-YTW : 6.91 % |
| BMO.PR.S | FixedReset Disc | 86,250 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 12.56 Evaluated at bid price : 12.56 Bid-YTW : 6.37 % |
| CM.PR.S | FixedReset Disc | 82,316 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 13.32 Evaluated at bid price : 13.32 Bid-YTW : 6.20 % |
| HSE.PR.A | FixedReset Disc | 70,000 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 5.68 Evaluated at bid price : 5.68 Bid-YTW : 10.29 % |
| CM.PR.R | FixedReset Disc | 57,409 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2050-04-02 Maturity Price : 15.25 Evaluated at bid price : 15.25 Bid-YTW : 6.61 % |
| There were 52 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: 13.01 – 14.30 Spot Rate : 1.2900 Average : 0.9451 YTW SCENARIO |
| GWO.PR.F | Deemed-Retractible | Quote: 21.50 – 22.77 Spot Rate : 1.2700 Average : 0.9911 YTW SCENARIO |
| PVS.PR.E | SplitShare | Quote: 23.50 – 24.50 Spot Rate : 1.0000 Average : 0.7858 YTW SCENARIO |
| EIT.PR.B | SplitShare | Quote: 22.75 – 24.75 Spot Rate : 2.0000 Average : 1.8122 YTW SCENARIO |
| TD.PF.F | Perpetual-Discount | Quote: 20.80 – 21.50 Spot Rate : 0.7000 Average : 0.5352 YTW SCENARIO |
| CIU.PR.A | Perpetual-Discount | Quote: 17.80 – 19.16 Spot Rate : 1.3600 Average : 1.2024 YTW SCENARIO |
It would be short sighted to put pressure on the Canadian banks to cut their dividends. I’m retired with a very modest pension. I won’t be getting any financial help from any level of government as a result of the Corona virus situation. I shouldn’t get any help because I don’t need it, but I might if dividends are cut.
Another thing has occurred to me … financials are 32% of the index based on capital. How much are they based on dividends? Half, maybe?
malcolmm says: , i am in the same boat . i would hope the gov sees dividends as providing an important source of funds into the economy , at a time when they are trying to provide funds into the economy with all their corona emergency funding . 2 things do not give me that hope , int rates also provided an important source of funds for untold numbers of savers and look at the wonderful care (sarc) the gov took of the savers with the low rates . and then in the u.s. i read that the corona bail out plans come with restrictions on the divs companies that take the money can pay . i think the gov , and the population that does not invest or receive divs looks at us as fat cats . this would be a good time for the pension plans and insurance companies (with all the stock they hold) to start speaking up
The Dutch National Bank urged insurers to suspend their dividend payments and share buyback plans.
“i would hope the gov sees dividends as providing an important source of funds into the economy”
I hope that some demographic granularity as to how dividends flow into private hands and support spending (directly and via the pension route) is available and understood by policy makers. If they are flying blind, god help us.
Some very interesting things are happening in unrelated fields.
Ontario has announced that it would let foreign trained doctors who have passed their credential validation/testing can temporarily begin practicing in the province. That makes you think. This licensing used to take a good five to ten years under normal scenario and now they are letting all the barriers melt. It’s surely not because of the goodness of their hearts. This will become Canada wide phenomenon as the Covid crisis worsens.
What’s the relevance here?
That things can change quickly and for politicians the only thing sacrosanct is power and optics. If they need to jettison the ‘investor’ class for a little while if it ensures their rein, why not?
Not suggesting anything, just my observation.
“If they need to jettison the ‘investor’ class for a little while if it ensures their rein, why not?”
Because, as malcolmm points out above, the investor class is, to a not insignificant degree, retirees and soon-to-be-retirees. Defined benefit pensions are not available to most workers anymore and the (I’ll say necessary) global central bank response to the Financial Crisis of 2008/9 has made it impossible to generate retirement income outside of risk assets.
… and those DB pensions? They are going to have a hard time meeting commitments if the “investor class” is “jettisoned”.
Yes, this plays into the hands of the 0.1% and they will get richer but that is a different problem with MANY solutions that might now become more palatable.
All good points. I’m not questioning any of the reasons you mentioned. The fact that you and I own these assets indicates that there are few alternatives out there.
I’m saying that things can change in a hurry and political expediency always comes on top of sound economic thought.
“things can change in a hurry and political expediency always comes on top of sound economic thought”
Agreed! Let’s hope that rationale actors are in the room when decisions are made. FWIW, I have some optimism that Morneau gets it. He has a deep view of the investor class.