{"id":27539,"date":"2015-01-22T01:14:44","date_gmt":"2015-01-22T06:14:44","guid":{"rendered":"http:\/\/prefblog.com\/?p=27539"},"modified":"2015-01-22T01:14:44","modified_gmt":"2015-01-22T06:14:44","slug":"lcs-pr-a-capital-units-suspend-distribution","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=27539","title":{"rendered":"LCS.PR.A: Capital Units Suspend Distribution"},"content":{"rendered":"

Brompton Funds has announced<\/a>:<\/p>\n

In accordance with its articles of incorporation and the Class A Share Provisions, the regular, non-cumulative, monthly distribution for the month of January will not be paid on the class A shares of Brompton Lifeco Split Corp. The net asset value per unit as at January 15, 2015 was $14.95. Under the articles of incorporation, no cash distribution may be paid on the class A shares, if after payment of the distribution by the Fund, the net asset value per unit (consisting of one class A share and one preferred share) would be less than $15.00. The Fund will re-evaluate the payment of class A share distributions in each subsequent month with the expectation that normal monthly distributions will resume and a press release will be issued if the net asset value per unit meets this requirement.<\/p>\n

In accordance with the Preferred Share Provisions, regular quarterly preferred share dividends will continue to be paid.<\/p><\/blockquote>\n

This follows a rather sharp drop from $16.45 on December 31<\/a>, a decline of 9.1% in unit value – rather a steep drop, but the insurance industry, with all its reinvestment risk, hasn’t had a particularly pleasant time of it during the recent plunge in yields<\/a>:<\/p>\n

\n\n\n\n\n\n\n
Ticker<\/td>\nPrice
2014-12-31<\/td>\n		Price
2015-1-20<\/td>\n		Change<\/td>\n<\/tr>\n
GWO<\/td>\n33.59<\/td>\n31.45<\/td>\n-6.4%<\/td>\n<\/tr>\n
MFC<\/td>\n22.18<\/td>\n19.93<\/td>\n-10.1%<\/td>\n<\/tr>\n
SLF<\/td>\n41.92<\/td>\n37.50<\/td>\n-10.5%<\/td>\n<\/tr>\n
IAG<\/td>\n44.43<\/td>\n40.26<\/td>\n-9.4%<\/td>\n<\/tr>\n<\/table>\n<\/div>\n

The Capital Units paid five monthly dividends of $0.075 in 2013<\/a> commencing in August as NAV improved throughout the year, and all twelve in 2014.<\/p>\n

LCS.PR.A was added to the HIMIPref™ database in October 2014<\/a>, following its term extension and treasury offering earlier in the year<\/a>. The issue is relegated to the Scraps index on credit concerns.<\/p>\n","protected":false},"excerpt":{"rendered":"

Brompton Funds has announced: In accordance with its articles of incorporation and the Class A Share Provisions, the regular, non-cumulative, monthly distribution for the month of January will not be paid on the class A …<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[],"class_list":["post-27539","post","type-post","status-publish","format-standard","hentry","category-issue-comments"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/27539","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=27539"}],"version-history":[{"count":0,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/27539\/revisions"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=27539"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=27539"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=27539"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}