Seminar, May 28: FixedReset Issues

Update, 2009-8-25: To gain access to the on-line video of this seminar and the ancillary written material, please visit

I am pleased to announce the next seminar in the series on the theory and practice of preferred share investing.

These seminars will be aimed at active and potential preferred share investors who wish to review relative valuation techniques in preferred share analysis.

All seminars will be presented by James Hymas, who has written extensively on the subject of preferred share investment and has been referred to as a "top expert" on the subject.

Questions are encouraged throughout the seminars, as well as in informal discussion at the end of the session.

Each seminar is two hours in length; coffee and tea will be served. The cost of attendance is $100, but a discount of $50 will be given to participants who have an annual subscription to PrefLetter with at least one issue remaining at the time of the seminar.

All seminars will be video-recorded for future distribution. Please note the slight change of venue: same hotel, different conference room.

Advance registration and payment may be performed on-line.

Thursday, May 28

Preferred Share – Fixed-Reset Issues:
Theory & Practice

"FixedReset Issues" are popular with investors who:

  • wish to obtain tax-advantaged income
  • want protection against future inflation

These issues are characterized by:

  • Mostly issued by financial institutions
  • Exchange Dates occur every five years
  • Dividends are fixed until the first Exchange Date
  • On every Exchange Date:
    • Company may redeem the issue at par
    • Rate until next exchange date is reset to 5-Year Canada bonds plus a spread
    • Issue may be exchanged to Floating Rate issues, paying 3-month Treasury Bills plus a spread, reset quarterly
  • Issues are perpetual

This seminar will review the theory of FixedReset Preferred evaluation, including:

  • Credit Quality
  • Embedded calls
  • Exchange Options
  • The importance of ex-Dividend dates
  • Investment characteristics relative to Straight Perpetuals

Examples of relative valuation in current markets will be supplied and discussed.

Attendence is limited; a reservation will avoid disappointment.

Location: Days Hotel & Conference Center, (at Carlton & College, downtown Toronto) College Room (see map).

Time: May 28, 2009, 6pm-8pm.

Reservations: Please visit the PrefLetter Seminar Page.

Update, 2009-8-24: The seminar and its ancillary material have been accredited for four hours of IDA Professional Development Continuing Education.

Update, 2009-8-24: â—¦This program is eligible for four CE credit hours, as granted by CFA Institute. If you are a CFA Institute member, CE credit for your participation in this program will be automatically recorded in your CE Diary.


2 Responses to “Seminar, May 28: FixedReset Issues”

  1. […] am pleased to announce that the Seminar on FixedReset Preferred Shares is now on-line and available for purchase of access via […]

  2. […] am pleased to announce that the Seminar on FixedReset issues has been accredited for four hours of IDA Continuing Education – Professional […]

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