{"id":18187,"date":"2012-03-22T21:53:46","date_gmt":"2012-03-23T01:53:46","guid":{"rendered":"http:\/\/www.prefblog.com\/?p=18187"},"modified":"2012-03-22T21:53:46","modified_gmt":"2012-03-23T01:53:46","slug":"march-22-2012","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=18187","title":{"rendered":"March 22, 2012"},"content":{"rendered":"

Moody’s has a good idea<\/a>:<\/p>\n

Governments, which have been criticizing credit-rating companies over sovereign-debt downgrades, should start a competing firm, according to Moody\u2019s Corp. (MCO) Chief Executive Officer Ray McDaniel.<\/p>\n

\u201cPublic institutions that have both the expertise and credibility among market participants should provide credit views on sovereigns,\u201d McDaniel wrote today in a paper called \u201cA Solution for the Credit Rating Agency Debate\u201d that was posted on the New York-based company\u2019s website.<\/p>\n

European lawmakers have blamed Moody\u2019s, Standard & Poor\u2019s and Fitch Ratings for complicating efforts to resolve the region\u2019s debt crisis by cutting countries\u2019 ratings, leading the European Union to adopt tougher regulations. While some have considered prohibiting the companies from publishing their opinions, that won\u2019t stop investors from speculating on creditworthiness, McDaniel said.<\/p><\/blockquote>\n

Looking to see how much credibility and influence a government-run CRA would have would be a hoot!<\/p>\n

Spend-Every-Penny said something sensible today<\/a>:<\/p>\n

\u201cI find it a bit odd that some of the bank executives are taking the position that the minister of finance or the government somehow should tell them how to run their business,\u201d Flaherty said during an appearance in Stittsville, Ont., just west of Ottawa.<\/p>\n

\u201cWe have bank executives in Canada going and saying \u2018really, the rules on insured mortgages should be tightened up.\u2019 They must forget that they are actually the ones that issue the mortgages. It\u2019s their market. It\u2019s not my market. They decide what they want to charge in interest rates.<\/p>\n

\u201cThey\u2019re the ones that make the profits out of this business, so I do find it a bit much when some of the bank executives turn to the government \u2026 and say \u2018you ought to change the rules and make it tighter.\u2019 It\u2019s very interesting commentary from them.\u201d<\/p><\/blockquote>\n

Downtown members of Toronto Shitty Council were able to record a political victory<\/a> today over Mayor Rob Ford. All they had to do was throw Scarborough under the bus<\/s> streetcar<\/s> LRT and destroy city finances<\/a>! Bargain! In related news, daredevil Star reporter Kate Allen was able to drive 6.5 km along St. Clair in only twenty minutes<\/a>! I’m surprised she didn’t get a ticket!<\/p>\n

It was another down day for the Canadian preferred share market, with PerpetualPremiums losing 19bp, FixedResets off 1bp and DeemedRetractibles down 9bp. However, the Performance Highlights table is fairly short. Volume was on the low side of average.<\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n
HIMIPref™ Preferred Indices
These values reflect the December 2008 revision of the HIMIPref™ Indices<\/strong>
Values are provisional and are finalized monthly<\/td>\n<\/tr>\n
Index<\/td>\nMean
Current
Yield
(at bid)<\/td>\n		Median
YTW<\/td>\n		Median
Average
Trading
Value<\/td>\n		Median
Mod Dur
(YTW)<\/td>\n		Issues<\/td>\nDay’s Perf.<\/td>\nIndex Value<\/td>\n<\/tr>\n
Ratchet<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n0.0191 %<\/td>\n2,399.8<\/td>\n<\/tr>\n
FixedFloater<\/td>\n4.54 %<\/td>\n3.93 %<\/td>\n38,000<\/td>\n17.38<\/td>\n1<\/td>\n0.0000 %<\/td>\n3,432.2<\/td>\n<\/tr>\n
Floater<\/td>\n3.01 %<\/td>\n2.98 %<\/td>\n45,171<\/td>\n19.77<\/td>\n3<\/td>\n0.0191 %<\/td>\n2,591.1<\/td>\n<\/tr>\n
OpRet<\/td>\n4.93 %<\/td>\n3.34 %<\/td>\n50,517<\/td>\n1.24<\/td>\n6<\/td>\n0.0129 %<\/td>\n2,497.2<\/td>\n<\/tr>\n
SplitShare<\/td>\n5.29 %<\/td>\n-3.06 %<\/td>\n83,292<\/td>\n0.73<\/td>\n4<\/td>\n-0.0100 %<\/td>\n2,673.0<\/td>\n<\/tr>\n
Interest-Bearing<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n0.0129 %<\/td>\n2,283.5<\/td>\n<\/tr>\n
Perpetual-Premium<\/td>\n5.44 %<\/td>\n3.32 %<\/td>\n101,274<\/td>\n1.49<\/td>\n25<\/td>\n-0.1933 %<\/td>\n2,203.5<\/td>\n<\/tr>\n
Perpetual-Discount<\/td>\n5.20 %<\/td>\n5.26 %<\/td>\n190,172<\/td>\n15.06<\/td>\n7<\/td>\n-0.5381 %<\/td>\n2,381.8<\/td>\n<\/tr>\n
FixedReset<\/td>\n5.07 %<\/td>\n3.21 %<\/td>\n194,921<\/td>\n2.25<\/td>\n67<\/td>\n-0.0057 %<\/td>\n2,375.0<\/td>\n<\/tr>\n
Deemed-Retractible<\/td>\n4.98 %<\/td>\n4.07 %<\/td>\n209,887<\/td>\n3.08<\/td>\n46<\/td>\n-0.0892 %<\/td>\n2,289.1<\/td>\n<\/tr>\n<\/table>\n\n\n\n\n\n\n\n
Performance Highlights<\/strong><\/td>\n<\/tr>\n
Issue<\/td>\nIndex<\/td>\nChange<\/td>\nNotes<\/td>\n<\/tr>\n
CIU.PR.A<\/td>\nPerpetual-Premium<\/td>\n-2.88 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2042-03-22
\nMaturity Price : 23.67
\nEvaluated at bid price : 23.94
\nBid-YTW : 4.83 %<\/td>\n<\/tr>\n
BAM.PR.N<\/td>\nPerpetual-Discount<\/td>\n-2.49 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2042-03-22
\nMaturity Price : 22.02
\nEvaluated at bid price : 22.33
\nBid-YTW : 5.32 %<\/td>\n<\/tr>\n
BAM.PR.P<\/td>\nFixedReset<\/td>\n1.02 %<\/td>\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-09-30
\nMaturity Price : 25.00
\nEvaluated at bid price : 26.85
\nBid-YTW : 3.86 %<\/td>\n<\/tr>\n
RY.PR.Y<\/td>\nFixedReset<\/td>\n1.09 %<\/td>\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-11-24
\nMaturity Price : 25.00
\nEvaluated at bid price : 26.90
\nBid-YTW : 3.32 %<\/td>\n<\/tr>\n<\/table>\n\n\n\n\n\n\n\n\n\n\n
Volume Highlights<\/strong><\/td>\n<\/tr>\n
Issue<\/td>\nIndex<\/td>\nShares
Traded<\/td>\n		Notes<\/td>\n<\/tr>\n
RY.PR.N<\/td>\nFixedReset<\/td>\n78,478<\/td>\nTD crossed 25,000 at 26.50. Scotia bought two blocks of 10,000 each from National at 26.50, then crossed 25,000 at 26.51.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-02-24
\nMaturity Price : 25.00
\nEvaluated at bid price : 26.52
\nBid-YTW : 3.25 %<\/td>\n<\/tr>\n
TD.PR.Y<\/td>\nFixedReset<\/td>\n66,301<\/td>\nTD crossed 64,000 at 26.15.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2013-10-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 26.06
\nBid-YTW : 2.86 %<\/td>\n<\/tr>\n
BAM.PF.A<\/td>\nFixedReset<\/td>\n55,170<\/td>\nRecent new issue<\/a>.
\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2042-03-22
\nMaturity Price : 23.08
\nEvaluated at bid price : 24.97
\nBid-YTW : 4.45 %<\/td>\n<\/tr>\n
ENB.PR.F<\/td>\nFixedReset<\/td>\n43,619<\/td>\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2018-06-01
\nMaturity Price : 25.00
\nEvaluated at bid price : 25.30
\nBid-YTW : 3.93 %<\/td>\n<\/tr>\n
RY.PR.T<\/td>\nFixedReset<\/td>\n31,159<\/td>\nRBC crossed 25,000 at 26.90.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-08-24
\nMaturity Price : 25.00
\nEvaluated at bid price : 26.92
\nBid-YTW : 3.17 %<\/td>\n<\/tr>\n
RY.PR.R<\/td>\nFixedReset<\/td>\n28,621<\/td>\nRBC crossed 24,900 at 26.60.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-02-24
\nMaturity Price : 25.00
\nEvaluated at bid price : 26.60
\nBid-YTW : 3.08 %<\/td>\n<\/tr>\n
There were 27 other index-included issues trading in excess of 10,000 shares.<\/td>\n<\/tr>\n<\/table>\n\n\n\n\n\n\n\n\n\n
Wide Spread Highlights<\/strong><\/td>\n<\/tr>\n
Issue<\/td>\nIndex<\/td>\nQuote Data and Yield Notes<\/td>\n<\/tr>\n
FTS.PR.E<\/td>\nOpRet<\/td>\nQuote: 26.25 – 27.11
\nSpot Rate : 0.8600
\nAverage : 0.6410<\/p>\n

YTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2013-06-01
\nMaturity Price : 25.75
\nEvaluated at bid price : 26.25
\nBid-YTW : 3.34 %<\/td>\n<\/tr>\n

PWF.PR.O<\/td>\nPerpetual-Premium<\/td>\nQuote: 26.20 – 26.69
\nSpot Rate : 0.4900
\nAverage : 0.3246<\/p>\n

YTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2018-10-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 26.20
\nBid-YTW : 5.12 %<\/td>\n<\/tr>\n

RY.PR.L<\/td>\nFixedReset<\/td>\nQuote: 26.27 – 26.54
\nSpot Rate : 0.2700
\nAverage : 0.1631<\/p>\n

YTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-02-24
\nMaturity Price : 25.00
\nEvaluated at bid price : 26.27
\nBid-YTW : 3.11 %<\/td>\n<\/tr>\n

SLF.PR.E<\/td>\nDeemed-Retractible<\/td>\nQuote: 22.41 – 22.64
\nSpot Rate : 0.2300
\nAverage : 0.1428<\/p>\n

YTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2022-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 22.41
\nBid-YTW : 5.92 %<\/td>\n<\/tr>\n

GWO.PR.L<\/td>\nDeemed-Retractible<\/td>\nQuote: 25.52 – 25.77
\nSpot Rate : 0.2500
\nAverage : 0.1734<\/p>\n

YTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2017-12-31
\nMaturity Price : 25.25
\nEvaluated at bid price : 25.52
\nBid-YTW : 5.38 %<\/td>\n<\/tr>\n

BAM.PR.N<\/td>\nPerpetual-Discount<\/td>\nQuote: 22.33 – 22.58
\nSpot Rate : 0.2500
\nAverage : 0.1736<\/p>\n

YTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2042-03-22
\nMaturity Price : 22.02
\nEvaluated at bid price : 22.33
\nBid-YTW : 5.32 %<\/td>\n<\/tr>\n<\/table>\n","protected":false},"excerpt":{"rendered":"

Moody’s has a good idea: Governments, which have been criticizing credit-rating companies over sovereign-debt downgrades, should start a competing firm, according to Moody\u2019s Corp. (MCO) Chief Executive Officer Ray McDaniel. \u201cPublic institutions that have both …<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[15],"tags":[],"class_list":["post-18187","post","type-post","status-publish","format-standard","hentry","category-market-action"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/18187","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=18187"}],"version-history":[{"count":0,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/18187\/revisions"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=18187"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=18187"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=18187"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}