| Note that these indices are experimental; the absolute and relative daily values are expected to change in the final version | |||||||
| Index | Mean Current Yield (at bid) | Mean YTW | Mean Average Trading Value | Mean Mod Dur (YTW) | Issues | Day’s Perf. | Index Value |
| Ratchet | 4.21% | 4.17% | 33,598 | 16.94 | 2 | -0.1603% | 1,016.0 |
| Fixed-Floater | 4.82% | 3.94% | 120,062 | 12.93 | 7 | -0.0500% | 1,025.8 |
| Floater | 4.49% | -23.33% | 65,900 | 6.52 | 5 | +0.3540% | 1,033.0 |
| Op. Retract | 4.66% | 0.72% | 80,926 | 2.26 | 18 | +0.1157% | 1,028.5 |
| Split-Share | 5.00% | 3.37% | 155,337 | 3.32 | 9 | -0.0510% | 1,028.3 |
| Interest Bearing | 6.92% | 5.72% | 66,261 | 2.04 | 7 | +0.2431% | 1,019.3 |
| Perpetual-Premium | 5.07% | 3.96% | 221,242 | 4.18 | 49 | -0.0143% | 1,043.3 |
| Perpetual-Discount | 4.59% | 4.63% | 833,444 | 16.15 | 8 | +0.0763% | 1,038.9 |
| Major Price Changes | |||
| Issue | Index | Change | Notes |
| DFN.PR.A | SplitShares | -1.0476 | These split-shares are non-callable, which is nice … they mature on Dec. 1, 2009, according to their prospectus. And at today’s closing bid of $10.39, they have a yield-to-maturity of 3.95% – equivalent to 5.53% interest for many investors. For a three-year fixed income instrument, that’s not bad! |
| BSD.PR.A | InterestBearing | +1.6393% | These things have been bouncing around a lot lately, due to a combination of fear of the income-trusts that ultimately back the paper, and the upcoming retraction event. |
| TOC.PR.B | FloatingRate | +1.9208% | A client of TD Securities appears to have completely lost his mind, as TDS was on the buy side of the last ten trades of this issue, starting with 100 at $26.00 at 10:32am and continuing until 2:26pm with a final buy of 1,000 shares at $26.49. These ten trades accounted for 4,350 of the 7,750 shares traded today; the issue closed at $26.00-40, 1×1, a substantial change from the $25.50 closing bid yesterday. These puppies pay 70% of prime on $25.00 face value, so $1.05 annually. I don’t get it. A floater isn’t even a money market instrument! |
| Volume Highlights | |||
| Issue | Index | Volume | Notes |
| CM.PR.I | PerpetualDiscount | 98,143 | The new issue continues to lead the volume list. |
| SLF.PR.D | PerpetualDiscount | 26,544 | Still seem to be huge chunks of hot shares looking for a home! |
| BAM.PR.S | InterestBearing | 24,370 | Called for redemption today, effective January 2, 2007. |
| TD.PR.M | OpRet | 18,200 | Scotia crossed 12,500 at $27.49. At the closing bid of $27.45, these have a pre-tax YTW of 2.34%, based on a call 2009-5-30 … since this is only the equivalent of 3.26% on a bond, we will be charitable and assume the purchasers have good reason to think that it will last until its soft maturity 2013-10-30, when it will have yielded 3.17% pre-tax, interest equivalent of 4.44%, which is roughly maybe sorta equivalent to where TD bonds are trading institutionally. And who knows – maybe the purchasers will be right! Seems like a risky play to me, however, with no upside to compensate for the chance of an early call. |
| SLF.PR.A | PerpetualPremium | 14,775 | Not the worst issue in town, with a pre-tax YTW of 4.42% based on a bid of $25.72 and a call at $25.00 2014-4-30. This is now ex-dividend, as today was the last day of trading cum-dividend. But I still say it’s expensive. And not just because they not only don’t post dividend information on their website, but use a service that doesn’t allow direct linking! Go to PRNewswire and search for “Sun Life” to verify dividend info, if you don’t trust me. |
There were eight other index-included issues trading over 10,000 shares today.
Update, 2006-11-18: I stand corrected on my snarky comment about Sunlife and the alleged lack of preferred share information on their website – see the comments section. I will, however, say that this information is not as easy to find as it should be! “Shareholder FAQs”? What on earth is the information doing in “Shareholder FAQs”? I mean, especially since all the questions refer to preferred shares, why isn’t the information linked on the menu as “Preferred Shares”? And why aren’t there links to the prospectuses?
Yes, I made a mistake and maybe I’m being a little defensive. But they sure made it easy for the mistake to be made!
[quote]And not just because they not only don’t post dividend information on their website, but use a service that doesn’t allow direct linking! Go to PRNewswire and search for “Sun Life” to verify dividend info, if you don’t trust me.[/quote].
Go here for an overview of all their preferred shares:
http://tinyurl.com/y64whc
Go here for specific dividends and record dates etc.:
http://tinyurl.com/yxru86
ltr
Markup Note: One of the fun things about Internet discussion software is learning the markup conventions.
The software for this blog interprets standard HTML markup, so the “quote /quote” in the above comment should have been “blockquote /blockquote” using “<" and ">” in place of “[” and “]”
[…] Continue to bounce around. No solid news yet about the upcoming retraction event. […]