| 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 | 6.92 % | 7.37 % | 38,273 | 13.05 | 1 | 0.0000 % | 2,391.0 |
| FixedFloater | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.1271 % | 4,592.7 |
| Floater | 6.62 % | 6.91 % | 40,218 | 12.62 | 3 | -0.1271 % | 2,646.8 |
| OpRet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.1907 % | 3,689.7 |
| SplitShare | 4.74 % | 4.25 % | 48,805 | 2.38 | 7 | 0.1907 % | 4,406.3 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.1907 % | 3,438.0 |
| Perpetual-Premium | 5.79 % | -1.14 % | 113,477 | 0.08 | 2 | 0.1388 % | 3,077.0 |
| Perpetual-Discount | 5.62 % | 5.74 % | 45,573 | 14.24 | 30 | -0.3078 % | 3,333.1 |
| FixedReset Disc | 5.58 % | 6.14 % | 122,544 | 13.30 | 37 | 0.1708 % | 3,040.6 |
| Insurance Straight | 5.51 % | 5.59 % | 59,576 | 14.43 | 18 | 0.1628 % | 3,277.4 |
| FloatingReset | 5.26 % | 5.32 % | 34,099 | 14.90 | 1 | 0.2823 % | 3,750.6 |
| FixedReset Prem | 5.88 % | 4.93 % | 116,508 | 2.50 | 17 | 0.2033 % | 2,630.8 |
| FixedReset Bank Non | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.1708 % | 3,108.1 |
| FixedReset Ins Non | 5.25 % | 5.64 % | 68,047 | 14.21 | 15 | 0.3571 % | 3,051.9 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| MFC.PR.Q | FixedReset Ins Non | -9.09 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 22.46 Evaluated at bid price : 23.00 Bid-YTW : 6.13 % |
| CU.PR.J | Perpetual-Discount | -7.02 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 20.00 Evaluated at bid price : 20.00 Bid-YTW : 5.96 % |
| GWO.PR.P | Insurance Straight | -4.71 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 22.78 Evaluated at bid price : 23.06 Bid-YTW : 5.93 % |
| PWF.PR.L | Perpetual-Discount | -1.88 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 21.73 Evaluated at bid price : 21.98 Bid-YTW : 5.84 % |
| CU.PR.G | Perpetual-Discount | -1.71 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 20.13 Evaluated at bid price : 20.13 Bid-YTW : 5.61 % |
| IFC.PR.A | FixedReset Ins Non | -1.70 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 21.61 Evaluated at bid price : 22.02 Bid-YTW : 5.35 % |
| PWF.PR.E | Perpetual-Discount | -1.45 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 23.53 Evaluated at bid price : 23.80 Bid-YTW : 5.82 % |
| BN.PR.X | FixedReset Disc | -1.42 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 19.38 Evaluated at bid price : 19.38 Bid-YTW : 6.17 % |
| GWO.PR.Q | Insurance Straight | 1.01 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 22.66 Evaluated at bid price : 22.90 Bid-YTW : 5.69 % |
| BN.PF.B | FixedReset Disc | 1.04 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 22.59 Evaluated at bid price : 23.39 Bid-YTW : 6.14 % |
| RY.PR.S | FixedReset Prem | 1.07 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2029-02-24 Maturity Price : 25.00 Evaluated at bid price : 26.35 Bid-YTW : 4.19 % |
| SLF.PR.D | Insurance Straight | 1.09 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 21.38 Evaluated at bid price : 21.38 Bid-YTW : 5.28 % |
| PWF.PF.A | Perpetual-Discount | 1.10 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 20.19 Evaluated at bid price : 20.19 Bid-YTW : 5.62 % |
| SLF.PR.C | Insurance Straight | 1.41 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 21.37 Evaluated at bid price : 21.64 Bid-YTW : 5.20 % |
| MFC.PR.C | Insurance Straight | 2.44 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 21.00 Evaluated at bid price : 21.00 Bid-YTW : 5.45 % |
| GWO.PR.H | Insurance Straight | 2.49 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 22.03 Evaluated at bid price : 22.26 Bid-YTW : 5.51 % |
| SLF.PR.H | FixedReset Ins Non | 4.02 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 21.61 Evaluated at bid price : 22.00 Bid-YTW : 5.64 % |
| MFC.PR.L | FixedReset Ins Non | 5.26 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 22.87 Evaluated at bid price : 24.00 Bid-YTW : 5.49 % |
| GWO.PR.N | FixedReset Ins Non | 9.02 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 18.00 Evaluated at bid price : 18.00 Bid-YTW : 5.83 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| BN.PF.B | FixedReset Disc | 126,460 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 22.59 Evaluated at bid price : 23.39 Bid-YTW : 6.14 % |
| NA.PR.I | FixedReset Prem | 109,766 | YTW SCENARIO Maturity Type : Call Maturity Date : 2029-05-01 Maturity Price : 25.00 Evaluated at bid price : 26.15 Bid-YTW : 5.45 % |
| ENB.PR.N | FixedReset Disc | 42,711 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 23.10 Evaluated at bid price : 24.39 Bid-YTW : 6.03 % |
| BN.PF.G | FixedReset Disc | 41,100 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2055-08-11 Maturity Price : 22.23 Evaluated at bid price : 22.90 Bid-YTW : 6.32 % |
| TD.PF.J | FixedReset Prem | 35,300 | YTW SCENARIO Maturity Type : Call Maturity Date : 2028-04-30 Maturity Price : 25.00 Evaluated at bid price : 25.55 Bid-YTW : 4.98 % |
| RY.PR.S | FixedReset Prem | 32,225 | YTW SCENARIO Maturity Type : Call Maturity Date : 2029-02-24 Maturity Price : 25.00 Evaluated at bid price : 26.35 Bid-YTW : 4.19 % |
| There were 11 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| See TMX DataLinx: ‘Last’ != ‘Close’ and the posts linked therein for an idea of why these quotes are so horrible. | ||
| Issue | Index | Quote Data and Yield Notes |
| MFC.PR.Q | FixedReset Ins Non | Quote: 23.00 – 25.65 Spot Rate : 2.6500 Average : 1.7306 YTW SCENARIO |
| MFC.PR.I | FixedReset Ins Non | Quote: 25.32 – 27.89 Spot Rate : 2.5700 Average : 1.6671 YTW SCENARIO |
| PWF.PR.K | Perpetual-Discount | Quote: 21.77 – 23.25 Spot Rate : 1.4800 Average : 0.8394 YTW SCENARIO |
| CU.PR.J | Perpetual-Discount | Quote: 20.00 – 21.60 Spot Rate : 1.6000 Average : 1.0517 YTW SCENARIO |
| ENB.PR.B | FixedReset Disc | Quote: 20.66 – 24.00 Spot Rate : 3.3400 Average : 2.8125 YTW SCENARIO |
| GWO.PR.P | Insurance Straight | Quote: 23.06 – 24.32 Spot Rate : 1.2600 Average : 0.7453 YTW SCENARIO |
Noticing that preferreds slowly deflating with general market exploding upwards. Haven’t been adding much to my preferred shares since my regular stocks doing much better. What have you guys noticed and have you been adding to your preferred?
The preferred share market is currently not doing very much on not very much volume.
I continue to think that the pref market is cheap. I would expect a revision to my opinion on this will be accompanied – perhaps a little before, perhaps a little after – by a significant amount of new issuance.
“Noticing that preferreds slowly deflating …”
maybe you can explain that statement to us since all the preferred share indexes are at all time highs?
Maybe deflating is a little exaggerated but I am noticing my 30 or so preferreds leaning to the negative while my regular stocks are climbing higher. Anyways, wondering if you guys are still buying today or holding off. Personally, I have new cash available and wondering if I wait for a market correction (I know–> impossible to know when) or just jump in with it now. Would love another Oct 2023 scenario so I can buy more.
the TXPR is less than 0.70% from it’s peak.
preferred shares are not stocks….
FWIW… I’m generally remaining invested in prefs but shifting my allocations.
I’m selling a lot of my rate resets as they approach their highs of 2018/2021. I think the downside risk is starting to outweigh the potential for more gains.
I’m buying more perpetuals and floaters as these seem to have more potential for capital gains sometime in the future. I’m also buying a lot of the rate resets which have very high reset rates and will very likely be redeemed – this particular subgroup of rate resets is now functioning almost like a GIC with a defined end date and a known yield – the yields aren’t spectacular but I sleep better at night.
I’ll wait for the next irrational market collapse to start repurchasing the typical rate resets.
Thanks for chiming in!