Wow! How about them PerpetualDiscounts, eh?
It figures. The Bank of Canada cuts rates and retail figures that means all rates, ignoring the fact that long Canadas were down on the day … lower rates means higher inflation risks, says the Market. Also ignoring the idea that corporate spreads tend to widen during tough times, since there is higher default risk.
Or maybe pref investors are saying that they know all that, it’s just that the whole thing since March has been overdone. Who knows? Ask a priest. I’m just glad to see the fifth straight trading day of PerpetualDiscount gains and that sub-index off its lows. But who knows what tomorrow will bring?
| Note that these indices are experimental; the absolute and relative daily values are expected to change in the final version. In this version, index values are based at 1,000.0 on 2006-6-30 | |||||||
| Index | Mean Current Yield (at bid) | Mean YTW | Mean Average Trading Value | Mean Mod Dur (YTW) | Issues | Day’s Perf. | Index Value |
| Ratchet | 4.89% | 4.88% | 108,344 | 15.68 | 2 | +0.0000% | 1,049.6 |
| Fixed-Floater | 4.87% | 4.87% | 97,290 | 15.70 | 8 | -0.1983% | 1,033.6 |
| Floater | 5.00% | 5.08% | 79,229 | 15.28 | 2 | -0.7736% | 949.5 |
| Op. Retract | 4.87% | 3.69% | 79,873 | 3.50 | 16 | +0.1603% | 1,034.0 |
| Split-Share | 5.32% | 6.45% | 93,145 | 3.85 | 15 | +0.2656% | 1,022.3 |
| Interest Bearing | 6.23% | 6.47% | 69,871 | 3.74 | 4 | +0.5871% | 1,067.8 |
| Perpetual-Premium | 5.82% | 5.38% | 80,857 | 6.18 | 11 | +0.1658% | 1,010.8 |
| Perpetual-Discount | 5.55% | 5.59% | 350,006 | 14.50 | 55 | +0.9188% | 915.0 |
| Major Price Changes | |||
| Issue | Index | Change | Notes |
| BAM.PR.B | Floater | -1.5471% | |
| LBS.PR.A | SplitShare | -1.2808% | Asset coverage of 2.4+:1 as of November 29, according to Brompton Group. Now with a pre-tax bid-YTW of 5.39% based on a bid of 10.02 and a hardMaturity 2013-11-29 at 10.00. |
| RY.PR.E | PerpetualDiscount | +1.0106% | Now with a pre-tax bid-YTW of 5.41% based on a bid of 20.99 and a limitMaturity. |
| PWF.PR.F | PerpetualDiscount | +1.0204% | Now with a pre-tax bid-YTW of 5.58% based on a bid of 23.76 and a limitMaturity. |
| CM.PR.I | PerpetualDiscount | +1.1029% | Now with a pre-tax bid-YTW of 5.41% based on a bid of 22.00 and a limitMaturity. |
| SLF.PR.A | PerpetualDiscount | +1.1765% | Now with a pre-tax bid-YTW of 5.53% based on a bid of 21.50 and a limitMaturity. |
| FTU.PR.A | SplitShare | +1.2022% | Asset coverage of 1.8+:1 as of November 15, according to the company. Now with a pre-tax bid-YTW of 7.09% based on a bid of 9.26 and a hardMaturity 2012-12-01 at 10.00. |
| PIC.PR.A | SplitShare | +1.2658% | Now with a pre-tax bid-YTW of 5.48% based on a bid of 15.20 and a hardMaturity 2010-11-1 at 15.00. |
| GWO.PR.G | PerpetualDiscount | +1.3274% | Now with a pre-tax bid-YTW of 5.68% based on a bid of 22.90 and a limitMaturity. |
| CM.PR.J | PerpetualDiscount | +1.4010% | Now with a pre-tax bid-YTW of 5.43% based on a bid of 20.99 and a limitMaturity. |
| CIU.PR.A | PerpetualDiscount | +1.4458% | Now with a pre-tax bid-YTW of 5.50% based on a bid of 21.05 and a limitMaturity. |
| SLF.PR.D | PerpetualDiscount | +1.5347% | Now with a pre-tax bid-YTW of 5.43% based on a bid of 20.51 and a limitMaturity. |
| TD.PR.O | PerpetualDiscount | +1.5385% | Now with a pre-tax bid-YTW of 5.31% based on a bid of 23.10 and a limitMaturity. |
| SLF.PR.B | PerpetualDiscount | +1.5962% | Now with a pre-tax bid-YTW of 5.54% based on a bid of 21.64 and a limitMaturity. |
| NA.PR.K | PerpetualDiscount | +1.6043% | Now with a pre-tax bid-YTW of 5.97% based on a bid of 24.70 and a limitMaturity. |
| RY.PR.B | PerpetualDiscount | +1.6085% | Now with a pre-tax bid-YTW of 5.35% based on a bid of 22.11 and a limitMaturity. |
| GWO.PR.H | PerpetualDiscount | +1.6393% | Now with a pre-tax bid-YTW of 5.58% based on a bid of 21.70 and a limitMaturity. |
| BAM.PR.M | PerpetualDiscount | +1.7045% | Now with a pre-tax bid-YTW of 6.79% based on a bid of 17.90 and a limitMaturity. |
| SLF.PR.C | PerpetualDiscount | +1.7318% | Now with a pre-tax bid-YTW of 5.42% based on a bid of 20.56 and a limitMaturity. |
| POW.PR.D | PerpetualDiscount | +1.7471% | Now with a pre-tax bid-YTW of 5.74% based on a bid of 22.13 and a limitMaturity. |
| FIG.PR.A | SplitShare | +1.7472% | Asset coverage of 2.1+:1 as of December 3, according to the company. Now with a pre-tax bid-YTW of 6.68% (almost all as interest) based on a bid of 9.90 and a hardMaturity 2014-12-31 at 10.00. |
| BMO.PR.J | PerpetualDiscount | +1.9370% | Now with a pre-tax bid-YTW of 5.39% based on a bid of 21.05 and a limitMaturity. |
| HSB.PR.C | PerpetualDiscount | +2.4218% | Now with a pre-tax bid-YTW of 5.58% based on a bid of 23.26 and a limitMaturity. |
| IAG.PR.A | PerpetualDiscount | +2.9557% | Now with a pre-tax bid-YTW of 5.51% based on a bid of 20.90 and a limitMaturity. |
| ELF.PR.F | PerpetualDiscount | +3.0099% | Now with a pre-tax bid-YTW of 6.80% based on a bid of 19.85 and a limitMaturity. |
| ELF.PR.G | PerpetualDiscount | +3.4685% | Now with a pre-tax bid-YTW of 6.87% based on a bid of 17.60 and a limitMaturity. |
| NA.PR.L | PerpetualDiscount | +3.6267% | Now with a pre-tax bid-YTW of 5.72% based on a bid of 21.43 and a limitMaturity. |
| Volume Highlights | |||
| Issue | Index | Volume | Notes |
| RY.PR.E | PerpetualDiscount | 69,875 | National Bank crossed 20,000 at 21.00, then another 5,000 at the same price. Now with a pre-tax bid-YTW of 5.41% based on a bid of 20.99 and a limitMaturity. |
| BNS.PR.L | PerpetualDiscount | 64,525 | Now with a pre-tax bid-YTW of 5.36% based on a bid of 21.26 and a limitMaturity. |
| RY.PR.W | PerpetualDiscount | 56,400 | Now with a pre-tax bid-YTW of 5.42% based on a bid of 22.77 and a limitMaturity. |
| RY.PR.B | PerpetualDiscount | 51,715 | Now with a pre-tax bid-YTW of 5.35% based on a bid of 22.11 and a limitMaturity. |
| RY.PR.D | PerpetualDiscount | 50,119 | National Bank crossed 20,000 at 21.00, then another 5,000 at the same price … didn’t I already say that? No, I’ve checked it twice, and the only difference between these trades and the RY.PR.E ones above is a minute or two on the time stamp. Well, why, not? They’re a weak pair. Now with a pre-tax bid-YTW of 5.41% based on a bid of 20.99 and a limitMaturity. |
There were thirty-five other index-included $25.00-equivalent issues trading over 10,000 shares today.