Who says Canada’s big financial institutions aren’t responsive and socially forward-looking? They have demonstrated yet again their concern about the financial comfort of the mentally deficient:
A group including Royal Bank of Canada and five other large investment firms is launching a competitor to the Toronto Stock Exchange, which handles the most trading in Canada.
The new market is designed to attract investors who are upset with what they see as unfair competition from high-frequency traders, who use ultrafast computers to exploit market quirks or to try to get ahead of other investors. The success of the new exchange may hinge on how much discontent there is with high-frequency trading (HFT) activity.
…
The plan is the product of months of work by RBC and a group of supporters including mutual fund giants IGM Financial Inc. and CI Financial Corp., Canadian pension fund PSP Investments and international brokerages ITG and Barclays.
‘Boo-hoo-hoo!’ cry the traders, “Our lunch is being eaten by a mob of parvenu geeks who understand these complicated computer thingamajigs! Save us, save us!’
‘Certainly!’ answer the bosses. ‘We’ll open up a new exchange that makes competition illegal! That will boost profits and cover up our incompetence!’
‘Great idea!’ enthuse the regulators. ‘Just give us a little cut of the take and we’ll make the Competition Act … go away.’
Aequitas, naturally enough, claims its major purpose is to enable double-dipping on transaction fees paid by clients:
Our stakeholders are professional money managers, pension funds, institutional and retail brokers and Canadian issuers, who believe there should be a level playing field for all market participants. A new and different exchange that strikes the right balance between liquidity, price discovery and cost efficiency, and enhances markets for the long-term investor.
It was another day of impressive bounce-back for the Canadian preferred share market, with PerpetualPremiums winning 66bp, FixedResets gaining 26bp and DeemedRetractibles up 65bp. The Performance Highlights table is suitably lengthy. Volume was very high.
PerpetualDiscounts now yield 5.65%, equivalent to 7.34% interest at the standard equivalency factor of 1.3x. Long Corporates now yield 4.65%, so the pre-tax interest-equivalent spread is now about 270bp, hugely elevated from post-Crunch norms and from the 235bp reported June 12.
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 | 0.8026 % | 2,560.2 |
FixedFloater | 4.34 % | 3.67 % | 48,313 | 17.96 | 1 | -0.2732 % | 3,787.5 |
Floater | 2.74 % | 2.90 % | 76,881 | 19.98 | 4 | 0.8026 % | 2,764.4 |
OpRet | 4.86 % | 3.45 % | 69,821 | 0.08 | 5 | -0.0860 % | 2,610.1 |
SplitShare | 4.70 % | 4.43 % | 88,121 | 3.99 | 6 | -0.4335 % | 2,946.8 |
Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.0860 % | 2,386.7 |
Perpetual-Premium | 5.49 % | 5.28 % | 130,209 | 14.38 | 33 | 0.6567 % | 2,261.2 |
Perpetual-Discount | 5.55 % | 5.65 % | 255,829 | 14.48 | 5 | 0.0833 % | 2,353.3 |
FixedReset | 4.97 % | 3.51 % | 250,320 | 3.68 | 83 | 0.2577 % | 2,470.9 |
Deemed-Retractible | 5.08 % | 4.89 % | 185,204 | 7.05 | 44 | 0.6453 % | 2,371.9 |
Performance Highlights | |||
Issue | Index | Change | Notes |
GCS.PR.A | SplitShare | -2.41 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2019-07-31 Maturity Price : 25.00 Evaluated at bid price : 24.00 Bid-YTW : 4.75 % |
FTS.PR.H | FixedReset | -1.58 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 23.32 Evaluated at bid price : 24.30 Bid-YTW : 3.33 % |
SLF.PR.H | FixedReset | -1.52 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 24.62 Bid-YTW : 4.09 % |
BAM.PF.D | Perpetual-Discount | -1.33 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 21.99 Evaluated at bid price : 22.30 Bid-YTW : 5.53 % |
IAG.PR.G | FixedReset | -1.16 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2017-06-30 Maturity Price : 25.00 Evaluated at bid price : 25.55 Bid-YTW : 3.71 % |
BNA.PR.C | SplitShare | -1.01 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2019-01-10 Maturity Price : 25.00 Evaluated at bid price : 24.45 Bid-YTW : 4.88 % |
SLF.PR.D | Deemed-Retractible | 1.06 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 21.99 Bid-YTW : 5.93 % |
CM.PR.E | Perpetual-Premium | 1.08 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2013-07-26 Maturity Price : 25.00 Evaluated at bid price : 25.03 Bid-YTW : -2.19 % |
PWF.PR.L | Perpetual-Premium | 1.09 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 22.90 Evaluated at bid price : 23.25 Bid-YTW : 5.56 % |
BNS.PR.Y | FixedReset | 1.12 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 24.37 Bid-YTW : 3.43 % |
ELF.PR.H | Perpetual-Premium | 1.13 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 24.60 Evaluated at bid price : 25.01 Bid-YTW : 5.59 % |
BAM.PR.K | Floater | 1.14 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 17.75 Evaluated at bid price : 17.75 Bid-YTW : 2.95 % |
PWF.PR.F | Perpetual-Premium | 1.16 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 24.22 Evaluated at bid price : 24.48 Bid-YTW : 5.44 % |
TD.PR.P | Deemed-Retractible | 1.16 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2013-11-01 Maturity Price : 25.75 Evaluated at bid price : 26.15 Bid-YTW : 2.91 % |
RY.PR.W | Perpetual-Premium | 1.17 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 24.74 Evaluated at bid price : 25.00 Bid-YTW : 4.94 % |
SLF.PR.I | FixedReset | 1.18 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2016-12-31 Maturity Price : 25.00 Evaluated at bid price : 25.70 Bid-YTW : 3.40 % |
TRI.PR.B | Floater | 1.18 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 22.82 Evaluated at bid price : 23.10 Bid-YTW : 2.24 % |
PWF.PR.K | Perpetual-Premium | 1.19 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 22.66 Evaluated at bid price : 23.00 Bid-YTW : 5.45 % |
BNS.PR.K | Deemed-Retractible | 1.20 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2014-04-28 Maturity Price : 25.00 Evaluated at bid price : 25.30 Bid-YTW : 4.22 % |
BAM.PR.M | Perpetual-Discount | 1.25 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 21.12 Evaluated at bid price : 21.12 Bid-YTW : 5.66 % |
GWO.PR.M | Deemed-Retractible | 1.26 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2019-03-31 Maturity Price : 25.00 Evaluated at bid price : 25.73 Bid-YTW : 5.23 % |
PWF.PR.E | Perpetual-Premium | 1.32 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 24.29 Evaluated at bid price : 24.60 Bid-YTW : 5.67 % |
FTS.PR.F | Perpetual-Premium | 1.34 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 22.98 Evaluated at bid price : 23.36 Bid-YTW : 5.28 % |
CU.PR.F | Perpetual-Premium | 1.38 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 21.71 Evaluated at bid price : 22.00 Bid-YTW : 5.15 % |
ENB.PR.D | FixedReset | 1.39 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 23.13 Evaluated at bid price : 24.85 Bid-YTW : 4.02 % |
FTS.PR.G | FixedReset | 1.47 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 23.04 Evaluated at bid price : 24.10 Bid-YTW : 3.97 % |
IGM.PR.B | Perpetual-Premium | 1.48 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 24.52 Evaluated at bid price : 25.02 Bid-YTW : 5.87 % |
VNR.PR.A | FixedReset | 1.55 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 23.20 Evaluated at bid price : 24.96 Bid-YTW : 4.48 % |
POW.PR.G | Perpetual-Premium | 1.58 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2021-04-15 Maturity Price : 25.00 Evaluated at bid price : 25.11 Bid-YTW : 5.52 % |
NA.PR.L | Deemed-Retractible | 1.58 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 25.10 Bid-YTW : 4.90 % |
BAM.PR.N | Perpetual-Discount | 1.63 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 21.15 Evaluated at bid price : 21.15 Bid-YTW : 5.65 % |
HSE.PR.A | FixedReset | 1.68 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 23.08 Evaluated at bid price : 24.15 Bid-YTW : 3.67 % |
SLF.PR.E | Deemed-Retractible | 1.71 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 22.05 Bid-YTW : 5.95 % |
BNS.PR.O | Deemed-Retractible | 1.71 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2016-04-27 Maturity Price : 25.25 Evaluated at bid price : 26.14 Bid-YTW : 4.55 % |
MFC.PR.B | Deemed-Retractible | 1.74 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 22.84 Bid-YTW : 5.72 % |
POW.PR.A | Perpetual-Premium | 1.74 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 24.26 Evaluated at bid price : 24.56 Bid-YTW : 5.70 % |
GWO.PR.G | Deemed-Retractible | 1.79 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 24.45 Bid-YTW : 5.49 % |
POW.PR.D | Perpetual-Premium | 1.95 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 23.28 Evaluated at bid price : 23.55 Bid-YTW : 5.31 % |
SLF.PR.C | Deemed-Retractible | 1.99 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 22.00 Bid-YTW : 5.92 % |
ENB.PR.H | FixedReset | 2.00 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 22.97 Evaluated at bid price : 24.50 Bid-YTW : 3.90 % |
BAM.PR.Z | FixedReset | 2.16 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2017-12-31 Maturity Price : 25.00 Evaluated at bid price : 26.00 Bid-YTW : 3.84 % |
MFC.PR.C | Deemed-Retractible | 2.28 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 22.40 Bid-YTW : 5.78 % |
CIU.PR.C | FixedReset | 3.26 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 22.86 Evaluated at bid price : 23.75 Bid-YTW : 3.32 % |
BAM.PR.X | FixedReset | 3.45 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-06-26 Maturity Price : 22.97 Evaluated at bid price : 24.26 Bid-YTW : 3.78 % |
Volume Highlights | |||
Issue | Index | Shares Traded |
Notes |
BMO.PR.K | Deemed-Retractible | 57,990 | RBC crossed 48,000 at 25.50. YTW SCENARIO Maturity Type : Call Maturity Date : 2016-11-25 Maturity Price : 25.00 Evaluated at bid price : 25.55 Bid-YTW : 4.72 % |
TD.PR.S | FixedReset | 57,327 | RBC crossed 49,900 at 25.15. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 25.16 Bid-YTW : 3.39 % |
NA.PR.L | Deemed-Retractible | 55,470 | Scotia crossed 40,000 at 24.92. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 25.10 Bid-YTW : 4.90 % |
GWO.PR.R | Deemed-Retractible | 51,150 | TD crossed 40,000 at 23.75. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 23.81 Bid-YTW : 5.38 % |
MFC.PR.K | FixedReset | 49,185 | Recent new issue. YTW SCENARIO Maturity Type : Call Maturity Date : 2018-09-19 Maturity Price : 25.00 Evaluated at bid price : 24.96 Bid-YTW : 3.87 % |
BNS.PR.Z | FixedReset | 41,877 | TD crossed 19,500 at 24.45. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 24.40 Bid-YTW : 3.70 % |
There were 61 other index-included issues trading in excess of 10,000 shares. |
Wide Spread Highlights | ||
Issue | Index | Quote Data and Yield Notes |
HSE.PR.A | FixedReset | Quote: 24.15 – 25.15 Spot Rate : 1.0000 Average : 0.5833 YTW SCENARIO |
GCS.PR.A | SplitShare | Quote: 24.00 – 25.00 Spot Rate : 1.0000 Average : 0.6134 YTW SCENARIO |
GWO.PR.L | Deemed-Retractible | Quote: 25.30 – 26.30 Spot Rate : 1.0000 Average : 0.6852 YTW SCENARIO |
BAM.PR.K | Floater | Quote: 17.75 – 18.55 Spot Rate : 0.8000 Average : 0.5039 YTW SCENARIO |
CU.PR.E | Perpetual-Premium | Quote: 23.67 – 24.12 Spot Rate : 0.4500 Average : 0.2642 YTW SCENARIO |
FTS.PR.F | Perpetual-Premium | Quote: 23.36 – 23.92 Spot Rate : 0.5600 Average : 0.3812 YTW SCENARIO |
Westcoast Energy on CreditWatch Negative by S&P
June 24th, 2013Standard & Poor’s has announced:
The action on UNG was previously reported on PrefBlog.
Westcoast is the proud issuer of two series of preferred shares, W.PR.H and W.PR.J, both Straight Perpetuals.
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