{"id":132,"date":"2006-09-28T16:33:29","date_gmt":"2006-09-28T20:33:29","guid":{"rendered":"http:\/\/www.prefblog.com\/?p=132"},"modified":"2006-09-28T16:33:29","modified_gmt":"2006-09-28T20:33:29","slug":"new-perpetual-issue-sunlife-445","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=132","title":{"rendered":"New Perpetual Issue : Sunlife 4.45%"},"content":{"rendered":"<p>I have just learned that Sunlife is coming out with a new issue of preferreds, Series 4.<\/p>\n<p>They are perpetual and pay $1.1125 p.a. Closing is expected to be 2006-10-10.<\/p>\n<p>The redemption schedule is:<\/p>\n<ul>\n<li>Redemption\u00a0\u00a0\u00a0\u00a0\u00a0 2011-12-31\u00a0\u00a0\u00a0\u00a0\u00a0 2012-12-30\u00a0 26.000000<\/li>\n<li>Redemption\u00a0\u00a0\u00a0\u00a0\u00a0 2012-12-31\u00a0\u00a0\u00a0\u00a0\u00a0 2013-12-30\u00a0 25.750000<\/li>\n<li>Redemption\u00a0\u00a0\u00a0\u00a0\u00a0 2013-12-31\u00a0\u00a0\u00a0\u00a0\u00a0 2014-12-30\u00a0 25.500000<\/li>\n<li>Redemption\u00a0\u00a0\u00a0\u00a0\u00a0 2014-12-31\u00a0\u00a0\u00a0\u00a0\u00a0 2015-12-30\u00a0 25.250000<\/li>\n<li>Redemption\u00a0\u00a0\u00a0\u00a0\u00a0 2015-12-31\u00a0\u00a0 INFINITE DATE\u00a0 25.000000<\/li>\n<\/ul>\n<p>If we compare this issue with<\/p>\n<ul>\n<li>RY.PR.A, which has the same dividend and credit rating, and is perpetual with the call schedule starting seven months earlier<\/li>\n<li>SLF.PR.C, which also has the same dividend, is perpetual and has the call schedule starting nine months earlier<\/li>\n<\/ul>\n<p>, using the yield curve as derived for taxable clients:<\/p>\n<div align=\"center\">\n<table border=\"1\">\n<tr>\n<td>\u00a0<\/td>\n<td><strong>SLF.PR.?<\/strong><\/td>\n<td><strong>RY.PR.A<\/strong><\/td>\n<td><strong>SLF.PR.C<\/strong><\/td>\n<\/tr>\n<tr>\n<td>Price due to base-rate<\/td>\n<td>22.69<\/td>\n<td>\u00a022.77<\/td>\n<td>22.70<\/td>\n<\/tr>\n<tr>\n<td>Price due to short-term<\/td>\n<td>0.08<\/td>\n<td>\u00a00.08<\/td>\n<td>0.08<\/td>\n<\/tr>\n<tr>\n<td>Price due to long-term<\/td>\n<td>0.58<\/td>\n<td>\u00a00.61<\/td>\n<td>0.62<\/td>\n<\/tr>\n<tr>\n<td>Price due to error<\/td>\n<td>0.01<\/td>\n<td>\u00a0-0.01<\/td>\n<td>-0.01<\/td>\n<\/tr>\n<tr>\n<td>Price due to Credit Spread (Low)<\/td>\n<td>-0.29<\/td>\n<td>\u00a0-0.31<\/td>\n<td>-0.31<\/td>\n<\/tr>\n<tr>\n<td><strong>Intrinsic Curve Price<\/strong><\/td>\n<td>23.07<\/td>\n<td>\u00a023.14<\/td>\n<td>23.08<\/td>\n<\/tr>\n<tr>\n<td>Price due to Liquidity<\/td>\n<td>\u00a01.32 (?)<\/td>\n<td>\u00a01.32<\/td>\n<td>1.32<\/td>\n<\/tr>\n<tr>\n<td><strong>Total Curve Price<\/strong><\/td>\n<td>\u00a024.39 (?)<\/td>\n<td>\u00a024.46<\/td>\n<td>24.40<\/td>\n<\/tr>\n<tr>\n<td>Closing Quote, 2006-09-28<\/td>\n<td>N\/A<\/td>\n<td>24.93-94<\/td>\n<td>24.65-79<\/td>\n<\/tr>\n<\/table>\n<\/div>\n<p>Well, I&#8217;m going to reserve judgement until I&#8217;ve received the prospectus! But this doesn&#8217;t look like a very attractive issue at all, given that even after allowing over $1.00 for the privilege of trading a million shares at a time it STILL looks over-valued at the issue price of $25.<\/p>\n<p>Once I&#8217;ve seen a prospectus I&#8217;ll be issuing a press release. The issue has been added to the HIMIPref&trade; database and full pre-issue analytics are available to subscribers.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>I have just learned that Sunlife is coming out with a new issue of preferreds, Series 4. They are perpetual and pay $1.1125 p.a. Closing is expected to be 2006-10-10. The redemption schedule is: Redemption\u00a0\u00a0\u00a0\u00a0\u00a0 &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[33,17],"tags":[],"class_list":["post-132","post","type-post","status-publish","format-standard","hentry","category-data-fixes","category-new-issues"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/132","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=132"}],"version-history":[{"count":0,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/132\/revisions"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=132"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=132"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=132"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}