The SEC is casting aspersions on the hedge fund industry:
U.S. Securities and Exchange Commission Enforcement Director Robert Khuzami said the recent insider-trading cases among hedge funds including Galleon Group reflect “systemic behavior” in the industry.
“You have funds whose business model consisted of vigorous attempts to collect information from corporate insiders and to utilize that information to trade,” Khuzami said today at the Bloomberg Washington Summit. The cases point to “a more systemic approach to the problem and therefore potentially more dangerous.”
Whether that’s true or not I couldn’t say, but based on some of the people I’ve met in the industry … it doesn’t surprise me.
Canadian Pacific Railway has issued a thirty-year MTN with a 6.45% coupon:
DBRS has today assigned a BBB rating, with a Stable trend, to the $400 million in Medium-Term Notes (Notes) issued today by Canadian Pacific Railway Company (CP or the Company). The 6.45% Notes are due in November 2039, will rank pari passu with the Company’s existing senior unsecured debt, and include change of control provisions. The debt will be offered under the Company’s base shelf prospectus dated June 26, 2009 for up to $1.5 billion in medium-term notes. Proceeds from the issuance are expected to be used for general corporate purposes, which may include the funding of pension plan obligations and the reduction and restructuring of indebtedness.
There’s a speech by Julie Dickson on Lifeco regulation that demands it’s own post … but I don’t know if I’ll get to it tonight.
I note that NS Power and its tidal technology partner OpenHydro have successfully deployed the first commercial scale in-stream tidal turbine in the Bay of Fundy today. Thank heaven! I heard about those plans so often in high school that I achieved deep understanding of the term “tidal bore”.
It was a “little” day today … the market edged up a little; volume recovered a little.
| 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 | -0.7534 % | 1,478.0 |
| FixedFloater | 6.11 % | 4.21 % | 45,207 | 18.54 | 1 | 1.7133 % | 2,551.6 |
| Floater | 2.64 % | 3.15 % | 95,642 | 19.32 | 3 | -0.7534 % | 1,846.5 |
| OpRet | 4.81 % | -8.93 % | 119,092 | 0.09 | 14 | -0.1989 % | 2,303.7 |
| SplitShare | 6.34 % | 6.32 % | 357,922 | 3.90 | 2 | -0.4139 % | 2,084.5 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.1989 % | 2,106.6 |
| Perpetual-Premium | 5.90 % | 5.66 % | 128,128 | 1.16 | 4 | -0.0161 % | 1,862.0 |
| Perpetual-Discount | 5.90 % | 5.95 % | 184,829 | 13.94 | 70 | 0.0669 % | 1,758.1 |
| FixedReset | 5.49 % | 4.03 % | 395,554 | 3.96 | 41 | 0.0751 % | 2,127.3 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| BAM.PR.O | OpRet | -2.04 % | YTW SCENARIO Maturity Type : Option Certainty Maturity Date : 2013-06-30 Maturity Price : 25.00 Evaluated at bid price : 25.45 Bid-YTW : 4.67 % |
| HSB.PR.D | Perpetual-Discount | -1.72 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-11-12 Maturity Price : 21.20 Evaluated at bid price : 21.20 Bid-YTW : 5.99 % |
| GWO.PR.F | Perpetual-Discount | -1.48 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-11-12 Maturity Price : 24.33 Evaluated at bid price : 24.63 Bid-YTW : 6.07 % |
| BAM.PR.B | Floater | -1.41 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-11-12 Maturity Price : 12.60 Evaluated at bid price : 12.60 Bid-YTW : 3.15 % |
| BAM.PR.K | Floater | -1.25 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-11-12 Maturity Price : 12.59 Evaluated at bid price : 12.59 Bid-YTW : 3.15 % |
| HSB.PR.C | Perpetual-Discount | 1.70 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-11-12 Maturity Price : 21.98 Evaluated at bid price : 22.11 Bid-YTW : 5.85 % |
| BAM.PR.G | FixedFloater | 1.71 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-11-12 Maturity Price : 25.00 Evaluated at bid price : 17.81 Bid-YTW : 4.21 % |
| PWF.PR.H | Perpetual-Discount | 1.73 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-11-12 Maturity Price : 23.80 Evaluated at bid price : 24.16 Bid-YTW : 5.99 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| BNS.PR.P | FixedReset | 206,500 | Trade-a-rama! Nesbitt crossed 25,000; RBC crossed 35,000; Desjardins crossed 15,000; HSBC sold six blocks of 10,000 to anonymous and another 10,000 to Nesbitt; RBC crossed 25,000; all this was done at the 26.00 price point. YTW SCENARIO Maturity Type : Call Maturity Date : 2013-05-25 Maturity Price : 25.00 Evaluated at bid price : 25.90 Bid-YTW : 3.96 % |
| CM.PR.L | FixedReset | 144,025 | HSBC sold blocks of 10,000 and 20,000 to RBC at 27.52; RBC crossed 58,000 at 27.51. YTW SCENARIO Maturity Type : Call Maturity Date : 2014-05-30 Maturity Price : 25.00 Evaluated at bid price : 27.55 Bid-YTW : 4.13 % |
| TRP.PR.A | FixedReset | 96,775 | Scotia sold 21,100 to anonymous at 25.50; UBS sold 13,000 to anonymous at the same price; Nesbitt bought 16,000 from anonymous at 25.50. YTW SCENARIO Maturity Type : Call Maturity Date : 2015-01-30 Maturity Price : 25.00 Evaluated at bid price : 25.46 Bid-YTW : 4.34 % |
| BAM.PR.O | OpRet | 63,392 | TD crossed 47,700 at 25.45. YTW SCENARIO Maturity Type : Option Certainty Maturity Date : 2013-06-30 Maturity Price : 25.00 Evaluated at bid price : 25.45 Bid-YTW : 4.67 % |
| NA.PR.L | Perpetual-Discount | 59,860 | Canaccord bought blocks 15,000 and 17,500 from TD at 20.75 (there is no word regarding whether Canaccord considers itself to have expertise in preferred shares; I trust TD has taken legal advice on the trade). YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-11-12 Maturity Price : 20.73 Evaluated at bid price : 20.73 Bid-YTW : 5.89 % |
| RY.PR.A | Perpetual-Discount | 47,610 | RBC crossed 30,000 at 19.57. YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2039-11-12 Maturity Price : 19.57 Evaluated at bid price : 19.57 Bid-YTW : 5.71 % |
| There were 34 other index-included issues trading in excess of 10,000 shares. | |||