In today’s top news, Canadian regulators are thinking about maybe doing something at some point about binary options fraud:
Regulators from provincial securities commissions across Canada have now formed a task force to try to crack down on binary options after receiving more than 800 reports and inquiries from investors in 2016 alone, saying the schemes have become Canada’s most widespread securities fraud targeting individual investors.
I won’t hold my breath. It’s much easier and just as well rewarded to simply sit in the office and play ticky-box with desperately cooperative Canadian firms.
PerpetualDiscounts now yield 5.21%, equivalent to 6.77% interest at the standard equivalency factor of 1.3x. Long corporates now yield about 4.05%, so the pre-tax interest-equivalent spread (in this context, the “Seniority Spread”) is now about 270bp, a significant narrowing from the 280bp reported February 8.
| 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 | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.8915 % | 2,079.9 |
| FixedFloater | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.8915 % | 3,816.5 |
| Floater | 3.63 % | 3.86 % | 54,881 | 17.65 | 4 | 0.8915 % | 2,199.5 |
| OpRet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.1255 % | 3,002.1 |
| SplitShare | 4.99 % | 4.01 % | 62,769 | 0.76 | 5 | 0.1255 % | 3,585.1 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.1255 % | 2,797.3 |
| Perpetual-Premium | 5.35 % | 4.74 % | 68,365 | 0.81 | 20 | 0.0450 % | 2,740.6 |
| Perpetual-Discount | 5.17 % | 5.21 % | 98,068 | 15.07 | 18 | -0.0259 % | 2,914.5 |
| FixedReset | 4.45 % | 4.06 % | 229,792 | 6.76 | 97 | 0.3397 % | 2,315.9 |
| Deemed-Retractible | 5.04 % | 0.38 % | 132,864 | 0.09 | 31 | 0.0396 % | 2,854.9 |
| FloatingReset | 2.49 % | 3.18 % | 51,745 | 4.64 | 9 | 0.0969 % | 2,471.2 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| IFC.PR.A | FixedReset | 1.30 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 18.76 Bid-YTW : 7.30 % |
| TRP.PR.C | FixedReset | 1.32 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-03-01 Maturity Price : 16.06 Evaluated at bid price : 16.06 Bid-YTW : 4.02 % |
| SLF.PR.H | FixedReset | 1.43 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 19.55 Bid-YTW : 6.56 % |
| FTS.PR.H | FixedReset | 1.47 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-03-01 Maturity Price : 15.85 Evaluated at bid price : 15.85 Bid-YTW : 4.02 % |
| TRP.PR.E | FixedReset | 1.60 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-03-01 Maturity Price : 22.40 Evaluated at bid price : 22.87 Bid-YTW : 3.88 % |
| PWF.PR.A | Floater | 1.63 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-03-01 Maturity Price : 15.00 Evaluated at bid price : 15.00 Bid-YTW : 3.17 % |
| TRP.PR.B | FixedReset | 1.82 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-03-01 Maturity Price : 14.58 Evaluated at bid price : 14.58 Bid-YTW : 4.00 % |
| HSE.PR.A | FixedReset | 1.82 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-03-01 Maturity Price : 16.20 Evaluated at bid price : 16.20 Bid-YTW : 4.28 % |
| BNS.PR.Y | FixedReset | 1.86 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 21.91 Bid-YTW : 4.81 % |
| TRP.PR.D | FixedReset | 2.07 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-03-01 Maturity Price : 21.70 Evaluated at bid price : 22.15 Bid-YTW : 3.98 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| MFC.PR.R | FixedReset | 240,155 | YTW SCENARIO Maturity Type : Call Maturity Date : 2022-03-19 Maturity Price : 25.00 Evaluated at bid price : 25.60 Bid-YTW : 4.29 % |
| RY.PR.Q | FixedReset | 109,194 | YTW SCENARIO Maturity Type : Call Maturity Date : 2021-05-24 Maturity Price : 25.00 Evaluated at bid price : 27.01 Bid-YTW : 3.48 % |
| PVS.PR.C | SplitShare | 108,628 | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2017-12-10 Maturity Price : 25.00 Evaluated at bid price : 25.14 Bid-YTW : 4.01 % |
| BIP.PR.A | FixedReset | 65,400 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-03-01 Maturity Price : 22.15 Evaluated at bid price : 22.60 Bid-YTW : 5.09 % |
| BIP.PR.D | FixedReset | 59,838 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-03-01 Maturity Price : 23.16 Evaluated at bid price : 25.01 Bid-YTW : 4.89 % |
| NA.PR.A | FixedReset | 55,983 | YTW SCENARIO Maturity Type : Call Maturity Date : 2021-08-15 Maturity Price : 25.00 Evaluated at bid price : 26.52 Bid-YTW : 3.98 % |
| There were 38 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| Issue | Index | Quote Data and Yield Notes |
| BAM.PF.H | FixedReset | Quote: 26.45 – 26.74 Spot Rate : 0.2900 Average : 0.1908 YTW SCENARIO |
| GWO.PR.N | FixedReset | Quote: 15.08 – 15.44 Spot Rate : 0.3600 Average : 0.2759 YTW SCENARIO |
| W.PR.K | FixedReset | Quote: 26.10 – 26.41 Spot Rate : 0.3100 Average : 0.2349 YTW SCENARIO |
| FTS.PR.F | Perpetual-Discount | Quote: 23.57 – 23.90 Spot Rate : 0.3300 Average : 0.2569 YTW SCENARIO |
| TD.PR.S | FixedReset | Quote: 24.65 – 24.85 Spot Rate : 0.2000 Average : 0.1332 YTW SCENARIO |
| TRP.PR.A | FixedReset | Quote: 18.30 – 18.57 Spot Rate : 0.2700 Average : 0.2037 YTW SCENARIO |