Some politicians don’t like living under their own rules:
George Osborne has agreed to make MPs exempt from anti-money laundering checks under pressure from moaning Tory backbenchers.
Tory MP Charles Walker claimed MPs and their families were being treated like “African despots”.
MPs appear on automatic watch lists of “Politically Exposed Persons” (PEP), used by banks to prevent money being funnelled into criminal gangs or hidden in offshore tax havens.
It means MPs and their families could be subject to extra checks on their bank accounts.
But the Chancellor said banks could go too far and become “disproportionate.”
The effects of being covered by such rules in Canada were discussed on October 19, 2015.
Parakeet Poloz says the economy might not recover until after his new bosses are re-elected:
“We estimate that it’s a sort of a three-year period while the negatives are still ongoing in the background and the positives are emerging in the foreground,” Poloz told the Senate’s banking, trade and commerce committee.
He added: “It could be longer than three years before we’re settled at that new place where the energy sector will have shrunk relatively to the whole economy and the rest of the economy will have grown to fill that space.”
| HIMIPref™ Preferred Indices These values reflect the December 2008 revision of the HIMIPref™ Indices Values are provisional and are finalized monthly |
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| Index | Mean Current Yield (at bid) |
Median YTW |
Median Average Trading Value |
Median Mod Dur (YTW) |
Issues | Day’s Perf. | Index Value |
| Ratchet | 4.66 % | 5.67 % | 10,071 | 17.06 | 1 | 0.0000 % | 1,687.1 |
| FixedFloater | 6.55 % | 5.67 % | 20,203 | 16.95 | 1 | 0.0000 % | 3,084.7 |
| Floater | 4.54 % | 4.66 % | 54,409 | 16.12 | 4 | -0.5022 % | 1,704.2 |
| OpRet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.1081 % | 2,807.7 |
| SplitShare | 4.72 % | 5.04 % | 86,041 | 2.54 | 6 | 0.1081 % | 3,285.5 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.1081 % | 2,563.5 |
| Perpetual-Premium | 5.78 % | -10.42 % | 84,162 | 0.09 | 6 | 0.0724 % | 2,592.1 |
| Perpetual-Discount | 5.56 % | 5.58 % | 96,524 | 14.47 | 33 | -0.0360 % | 2,624.8 |
| FixedReset | 5.13 % | 4.65 % | 181,238 | 14.07 | 88 | 0.7736 % | 1,989.1 |
| Deemed-Retractible | 5.17 % | 5.68 % | 129,638 | 6.84 | 34 | 0.1924 % | 2,637.6 |
| FloatingReset | 3.15 % | 4.92 % | 30,270 | 5.35 | 17 | 0.1027 % | 2,069.5 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| HSE.PR.B | FloatingReset | -2.40 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 9.78 Evaluated at bid price : 9.78 Bid-YTW : 5.76 % |
| SLF.PR.J | FloatingReset | -2.36 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 12.40 Bid-YTW : 11.06 % |
| PWF.PR.A | Floater | -1.91 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 11.28 Evaluated at bid price : 11.28 Bid-YTW : 4.24 % |
| TD.PR.T | FloatingReset | -1.65 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 21.49 Bid-YTW : 4.92 % |
| TD.PR.Z | FloatingReset | -1.38 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 21.40 Bid-YTW : 5.09 % |
| BAM.PR.T | FixedReset | -1.20 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 15.63 Evaluated at bid price : 15.63 Bid-YTW : 5.09 % |
| ELF.PR.H | Perpetual-Discount | -1.18 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 23.07 Evaluated at bid price : 23.50 Bid-YTW : 5.87 % |
| HSE.PR.G | FixedReset | 1.04 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.40 Evaluated at bid price : 19.40 Bid-YTW : 5.69 % |
| CCS.PR.C | Deemed-Retractible | 1.05 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 22.21 Bid-YTW : 6.79 % |
| BAM.PF.H | FixedReset | 1.10 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2020-12-31 Maturity Price : 25.00 Evaluated at bid price : 25.83 Bid-YTW : 4.30 % |
| RY.PR.H | FixedReset | 1.11 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.11 Evaluated at bid price : 19.11 Bid-YTW : 4.23 % |
| PWF.PR.S | Perpetual-Discount | 1.15 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 21.69 Evaluated at bid price : 22.00 Bid-YTW : 5.46 % |
| CIU.PR.C | FixedReset | 1.19 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 11.90 Evaluated at bid price : 11.90 Bid-YTW : 4.54 % |
| HSE.PR.A | FixedReset | 1.21 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 10.88 Evaluated at bid price : 10.88 Bid-YTW : 5.74 % |
| RY.PR.Z | FixedReset | 1.22 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.12 Evaluated at bid price : 19.12 Bid-YTW : 4.18 % |
| BMO.PR.W | FixedReset | 1.25 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 18.65 Evaluated at bid price : 18.65 Bid-YTW : 4.28 % |
| BMO.PR.S | FixedReset | 1.26 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.30 Evaluated at bid price : 19.30 Bid-YTW : 4.27 % |
| TD.PF.B | FixedReset | 1.27 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.09 Evaluated at bid price : 19.09 Bid-YTW : 4.18 % |
| BAM.PF.G | FixedReset | 1.29 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 20.38 Evaluated at bid price : 20.38 Bid-YTW : 4.72 % |
| HSE.PR.E | FixedReset | 1.31 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.30 Evaluated at bid price : 19.30 Bid-YTW : 5.73 % |
| NA.PR.S | FixedReset | 1.33 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.05 Evaluated at bid price : 19.05 Bid-YTW : 4.36 % |
| CM.PR.P | FixedReset | 1.33 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.00 Evaluated at bid price : 19.00 Bid-YTW : 4.18 % |
| MFC.PR.F | FixedReset | 1.46 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 13.90 Bid-YTW : 9.96 % |
| MFC.PR.J | FixedReset | 1.47 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 19.98 Bid-YTW : 6.67 % |
| MFC.PR.G | FixedReset | 1.54 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 19.80 Bid-YTW : 7.03 % |
| MFC.PR.H | FixedReset | 1.55 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 21.63 Bid-YTW : 6.06 % |
| BAM.PF.A | FixedReset | 1.57 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.40 Evaluated at bid price : 19.40 Bid-YTW : 4.92 % |
| TRP.PR.D | FixedReset | 1.63 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 16.85 Evaluated at bid price : 16.85 Bid-YTW : 4.90 % |
| BAM.PF.E | FixedReset | 1.66 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 18.96 Evaluated at bid price : 18.96 Bid-YTW : 4.73 % |
| TRP.PR.H | FloatingReset | 1.67 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 9.75 Evaluated at bid price : 9.75 Bid-YTW : 4.60 % |
| HSE.PR.C | FixedReset | 1.74 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 17.50 Evaluated at bid price : 17.50 Bid-YTW : 5.83 % |
| PWF.PR.Q | FloatingReset | 1.77 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 12.08 Evaluated at bid price : 12.08 Bid-YTW : 4.35 % |
| CM.PR.Q | FixedReset | 1.88 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 20.10 Evaluated at bid price : 20.10 Bid-YTW : 4.46 % |
| TRP.PR.G | FixedReset | 1.89 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 18.85 Evaluated at bid price : 18.85 Bid-YTW : 5.05 % |
| TRP.PR.F | FloatingReset | 2.10 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 12.65 Evaluated at bid price : 12.65 Bid-YTW : 4.82 % |
| TD.PF.A | FixedReset | 2.12 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.25 Evaluated at bid price : 19.25 Bid-YTW : 4.15 % |
| TRP.PR.A | FixedReset | 2.16 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 14.66 Evaluated at bid price : 14.66 Bid-YTW : 4.83 % |
| MFC.PR.M | FixedReset | 2.20 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 20.44 Bid-YTW : 6.30 % |
| TD.PF.C | FixedReset | 2.24 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.13 Evaluated at bid price : 19.13 Bid-YTW : 4.16 % |
| PWF.PR.T | FixedReset | 2.43 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 21.10 Evaluated at bid price : 21.10 Bid-YTW : 3.92 % |
| TRP.PR.B | FixedReset | 2.71 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 11.35 Evaluated at bid price : 11.35 Bid-YTW : 4.61 % |
| BMO.PR.T | FixedReset | 2.72 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 18.90 Evaluated at bid price : 18.90 Bid-YTW : 4.25 % |
| IFC.PR.A | FixedReset | 2.73 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 14.70 Bid-YTW : 10.17 % |
| BNS.PR.F | FloatingReset | 2.76 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 19.02 Bid-YTW : 6.94 % |
| IAG.PR.G | FixedReset | 2.81 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 20.46 Bid-YTW : 6.53 % |
| CM.PR.O | FixedReset | 3.97 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.40 Evaluated at bid price : 19.40 Bid-YTW : 4.19 % |
| TRP.PR.C | FixedReset | 5.55 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 11.98 Evaluated at bid price : 11.98 Bid-YTW : 4.82 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| TRP.PR.J | FixedReset | 1,623,504 | YTW SCENARIO Maturity Type : Call Maturity Date : 2021-05-31 Maturity Price : 25.00 Evaluated at bid price : 25.66 Bid-YTW : 4.94 % |
| RY.PR.Q | FixedReset | 139,612 | YTW SCENARIO Maturity Type : Call Maturity Date : 2021-05-24 Maturity Price : 25.00 Evaluated at bid price : 26.52 Bid-YTW : 4.59 % |
| TD.PF.C | FixedReset | 73,383 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.13 Evaluated at bid price : 19.13 Bid-YTW : 4.16 % |
| BNS.PR.E | FixedReset | 49,745 | YTW SCENARIO Maturity Type : Call Maturity Date : 2021-04-25 Maturity Price : 25.00 Evaluated at bid price : 25.87 Bid-YTW : 4.72 % |
| RY.PR.Z | FixedReset | 48,320 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2046-04-20 Maturity Price : 19.12 Evaluated at bid price : 19.12 Bid-YTW : 4.18 % |
| IFC.PR.C | FixedReset | 46,009 | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 17.80 Bid-YTW : 8.19 % |
| There were 32 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| Issue | Index | Quote Data and Yield Notes |
| TD.PF.D | FixedReset | Quote: 20.01 – 20.75 Spot Rate : 0.7400 Average : 0.4981 YTW SCENARIO |
| TRP.PR.D | FixedReset | Quote: 16.85 – 17.50 Spot Rate : 0.6500 Average : 0.4346 YTW SCENARIO |
| HSE.PR.B | FloatingReset | Quote: 9.78 – 10.49 Spot Rate : 0.7100 Average : 0.5102 YTW SCENARIO |
| CU.PR.G | Perpetual-Discount | Quote: 20.50 – 20.95 Spot Rate : 0.4500 Average : 0.2782 YTW SCENARIO |
| BNS.PR.F | FloatingReset | Quote: 19.02 – 19.90 Spot Rate : 0.8800 Average : 0.7149 YTW SCENARIO |
| IFC.PR.C | FixedReset | Quote: 17.80 – 18.28 Spot Rate : 0.4800 Average : 0.3194 YTW SCENARIO |
James, does the Bank of Canada not still have only a single mandate? to keep inflation targeted between 1-3%? if Canada’s inflation rate rises to say, 4%+, is Poloz not bound to do something?
My reading of the Bank Act and the current policy statement for the BOC supports your conclusion. The only policy objective (other than maintaining financial system integrity, etc…) is “low, stable and predictable inflation”, unlike the US Fed that adds low unemployment. The policy is set at the discretion on the Governor, but can be over-ridden by the Minster of Finance if there is a disagreement, but that would be like touching the third rail. My opinion for the last year or so is that Poloz will find any inflation number he can devise to meet the objective, which to me means in the medium term a strong likelihood of overshooting. I am tainted though having come of age during the Volcker era where central bankers were truly independent and singularly focused on inflation.