Inflation is down, according to Statistics Canada:
The Bank of Canada’s core index advanced 2.4% over the 12 months to December, identical to the rise in November. The main contributors to the increase in the core index were higher prices for bread, cereal products and meat products. Price declines for purchasing and leasing passenger vehicles remained the primary downward contributor.
The seasonally adjusted monthly core index posted no change from November to December, after rising 0.6% from October to November.
PerpetualDiscounts were off again today, reducing their month-to-date return to +5.65%, having peaked on January 13 at +7.51%. The median pre-tax bid-YTW is now 6.95%, equivalent to 9.73% interest at the standard conversion factor of 1.4x, compared to long corporates, still steady at 7.5%. The pre-tax interest-equivalent spread is thus 223bp.
| HIMIPref™ Preferred Indices These values reflect the December 2008 revision of the HIMIPref™ Indices Values are provisional and are finalized monthly |
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| Index | Mean Current Yield (at bid) |
Median YTW |
Median Average Trading Value |
Median Mod Dur (YTW) |
Issues | Day’s Perf. | Index Value |
| Ratchet | 6.91 % | 7.62 % | 37,348 | 13.47 | 2 | -1.5620 % | 854.7 |
| FixedFloater | 7.39 % | 7.02 % | 150,619 | 13.69 | 8 | -0.9992 % | 1,386.9 |
| Floater | 5.43 % | 4.61 % | 35,389 | 16.22 | 4 | -1.3023 % | 967.5 |
| OpRet | 5.31 % | 4.76 % | 142,780 | 4.05 | 15 | 0.2877 % | 2,023.8 |
| SplitShare | 6.28 % | 9.84 % | 79,275 | 4.14 | 15 | -0.2689 % | 1,772.5 |
| Interest-Bearing | 7.18 % | 8.50 % | 36,685 | 0.90 | 2 | -0.1172 % | 1,968.9 |
| Perpetual-Premium | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.2455 % | 1,550.5 |
| Perpetual-Discount | 6.92 % | 6.95 % | 231,379 | 12.62 | 71 | -0.2455 % | 1,427.9 |
| FixedReset | 6.01 % | 4.98 % | 817,266 | 14.88 | 22 | -0.1483 % | 1,805.4 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| PWF.PR.A | Floater | -7.54 % | Bids disappeared, with four trades totalling 4,200 in a range of 12.50-00; closing at 12.02-50, 2×8. YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 12.02 Evaluated at bid price : 12.02 Bid-YTW : 4.36 % |
| ELF.PR.G | Perpetual-Discount | -4.61 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 14.50 Evaluated at bid price : 14.50 Bid-YTW : 8.29 % |
| BAM.PR.G | FixedFloater | -4.45 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 25.00 Evaluated at bid price : 10.51 Bid-YTW : 10.46 % |
| ELF.PR.F | Perpetual-Discount | -4.09 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 15.26 Evaluated at bid price : 15.26 Bid-YTW : 8.79 % |
| PPL.PR.A | SplitShare | -3.62 % | Asset coverage of 1.4+:1 as of January 15 according to the company. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2012-12-01 Maturity Price : 10.00 Evaluated at bid price : 8.53 Bid-YTW : 9.76 % |
| SBC.PR.A | SplitShare | -3.45 % | Asset coverage of 1.3-:1 as of January 22, according to Brompton Group. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2012-11-30 Maturity Price : 10.00 Evaluated at bid price : 7.83 Bid-YTW : 12.67 % |
| BCE.PR.R | FixedFloater | -3.02 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 25.00 Evaluated at bid price : 15.76 Bid-YTW : 7.08 % |
| BCE.PR.Y | Ratchet | -2.97 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 25.00 Evaluated at bid price : 14.36 Bid-YTW : 7.62 % |
| RY.PR.E | Perpetual-Discount | -2.36 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 17.40 Evaluated at bid price : 17.40 Bid-YTW : 6.48 % |
| RY.PR.A | Perpetual-Discount | -2.34 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 17.09 Evaluated at bid price : 17.09 Bid-YTW : 6.52 % |
| BNS.PR.O | Perpetual-Discount | -2.29 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 20.90 Evaluated at bid price : 20.90 Bid-YTW : 6.75 % |
| TD.PR.Y | FixedReset | -2.22 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 21.96 Evaluated at bid price : 22.00 Bid-YTW : 4.22 % |
| CU.PR.A | Perpetual-Discount | -2.14 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 21.53 Evaluated at bid price : 21.53 Bid-YTW : 6.87 % |
| BAM.PR.K | Floater | -1.87 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 7.36 Evaluated at bid price : 7.36 Bid-YTW : 7.23 % |
| FFN.PR.A | SplitShare | -1.81 % | Asset coverage of 1.1+:1 as of January 15 according to the company. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2014-12-01 Maturity Price : 10.00 Evaluated at bid price : 7.61 Bid-YTW : 11.07 % |
| TD.PR.C | FixedReset | -1.78 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 23.68 Evaluated at bid price : 23.72 Bid-YTW : 4.93 % |
| BNS.PR.Q | FixedReset | -1.77 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 21.12 Evaluated at bid price : 21.12 Bid-YTW : 4.40 % |
| SBN.PR.A | SplitShare | -1.75 % | Asset coverage of 1.7-:1 as of January 15 according to Mulvihill. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2014-12-01 Maturity Price : 10.00 Evaluated at bid price : 8.96 Bid-YTW : 7.53 % |
| RY.PR.L | FixedReset | -1.74 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 23.66 Evaluated at bid price : 23.70 Bid-YTW : 4.98 % |
| GWO.PR.I | Perpetual-Discount | -1.71 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 15.51 Evaluated at bid price : 15.51 Bid-YTW : 7.36 % |
| FTN.PR.A | SplitShare | -1.65 % | Asset coverage of 1.3-:1 as of January 15 according to the company. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2015-12-01 Maturity Price : 10.00 Evaluated at bid price : 7.76 Bid-YTW : 9.99 % |
| CM.PR.E | Perpetual-Discount | -1.58 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 19.29 Evaluated at bid price : 19.29 Bid-YTW : 7.32 % |
| RY.PR.C | Perpetual-Discount | -1.58 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 17.47 Evaluated at bid price : 17.47 Bid-YTW : 6.60 % |
| BCE.PR.I | FixedFloater | -1.44 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 25.00 Evaluated at bid price : 15.78 Bid-YTW : 7.06 % |
| GWO.PR.H | Perpetual-Discount | -1.43 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 16.57 Evaluated at bid price : 16.57 Bid-YTW : 7.42 % |
| MFC.PR.B | Perpetual-Discount | -1.40 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 17.58 Evaluated at bid price : 17.58 Bid-YTW : 6.72 % |
| IAG.PR.A | Perpetual-Discount | -1.13 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 16.61 Evaluated at bid price : 16.61 Bid-YTW : 7.02 % |
| SLF.PR.D | Perpetual-Discount | 1.11 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 15.55 Evaluated at bid price : 15.55 Bid-YTW : 7.26 % |
| PWF.PR.I | Perpetual-Discount | 1.16 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 21.75 Evaluated at bid price : 21.75 Bid-YTW : 6.95 % |
| PWF.PR.M | FixedReset | 1.34 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 24.95 Evaluated at bid price : 25.00 Bid-YTW : 5.22 % |
| POW.PR.D | Perpetual-Discount | 1.79 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 18.23 Evaluated at bid price : 18.23 Bid-YTW : 6.93 % |
| BAM.PR.B | Floater | 2.10 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 7.77 Evaluated at bid price : 7.77 Bid-YTW : 6.84 % |
| NA.PR.N | FixedReset | 2.23 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 22.44 Evaluated at bid price : 22.50 Bid-YTW : 4.49 % |
| SLF.PR.A | Perpetual-Discount | 2.27 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 16.65 Evaluated at bid price : 16.65 Bid-YTW : 7.23 % |
| BNA.PR.B | SplitShare | 2.38 % | Asset coverage of 1.8+:1 as of December 31 according to the company. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2016-03-25 Maturity Price : 25.00 Evaluated at bid price : 21.50 Bid-YTW : 7.69 % |
| BNA.PR.C | SplitShare | 2.42 % | Asset coverage of 1.8+:1 as of December 31 according to the company. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2019-01-10 Maturity Price : 25.00 Evaluated at bid price : 11.01 Bid-YTW : 15.94 % |
| BAM.PR.J | OpRet | 3.34 % | YTW SCENARIO Maturity Type : Soft Maturity Maturity Date : 2018-03-30 Maturity Price : 25.00 Evaluated at bid price : 17.62 Bid-YTW : 10.65 % |
| TRI.PR.B | Floater | 4.07 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 11.50 Evaluated at bid price : 11.50 Bid-YTW : 4.61 % |
| DFN.PR.A | SplitShare | 4.44 % | Asset coverage of 1.7-:1 as of January 15 according to the company. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2014-12-01 Maturity Price : 10.00 Evaluated at bid price : 8.70 Bid-YTW : 8.22 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| BNS.PR.T | FixedReset | 103,166 | Recent new issue. YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 25.00 Evaluated at bid price : 25.05 Bid-YTW : 5.91 % |
| RY.PR.P | FixedReset | 85,318 | Recent new issue. YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 24.97 Evaluated at bid price : 25.02 Bid-YTW : 5.96 % |
| BNS.PR.P | FixedReset | 83,680 | Nesbitt crossed 60,000 at 23.00. YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 22.87 Evaluated at bid price : 22.95 Bid-YTW : 4.29 % |
| ELF.PR.F | Perpetual-Discount | 71,647 | RBC bought 21,000 from National at 16.00; Scotia bought two blocks of 10,000 each at 10.90; one from anonymous, the other from National. YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 15.26 Evaluated at bid price : 15.26 Bid-YTW : 8.79 % |
| TD.PR.E | FixedReset | 60,545 | Recent new issue. YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 25.09 Evaluated at bid price : 25.14 Bid-YTW : 6.06 % |
| MFC.PR.B | Perpetual-Discount | 43,800 | Nesbitt crossed 30,000 at 17.63, then another 10,000 at the same price. YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-01-23 Maturity Price : 17.58 Evaluated at bid price : 17.58 Bid-YTW : 6.72 % |
| There were 29 other index-included issues trading in excess of 10,000 shares. | |||