{"id":49445,"date":"2018-06-06T21:07:00","date_gmt":"2018-06-07T01:07:00","guid":{"rendered":"https:\/\/prefblog.com\/?p=49445"},"modified":"2025-08-15T21:08:41","modified_gmt":"2025-08-16T01:08:41","slug":"june-6-2018","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=49445","title":{"rendered":"June 6, 2018"},"content":{"rendered":"<p>PerpetualDiscounts now yield 5.52%, equivalent to 7.18% interest at the standard equivalency factor of 1.3x. <a href=\"http:\/\/www.ftse.com\/products\/FTSETMX\/Home\/Indices\">Long corporates<\/a> now yield a little over 3.90%, so the pre-tax interest-equivalent spread (in this context, the &#8220;Seniority Spread&#8221;) is now about 325bp, a slight (and perhaps spurious) narrowing from the 330bp reported <a href=\"https:\/\/prefblog.com\/?p=36732\">May 30<\/a>.<\/p>\n<table border=\"1\">\n<tr>\n<td colspan=\"8\"><strong>HIMIPref&trade; Preferred Indices<br \/>These values reflect the December 2008 revision of the HIMIPref&trade; Indices<\/strong><br \/>Values are provisional and are finalized monthly<\/td>\n<\/tr>\n<tr>\n<td>Index<\/td>\n<td>Mean<br \/>Current<br \/>Yield<br \/>(at bid)<\/td>\n<td>Median<br \/>YTW<\/td>\n<td>Median<br \/>Average<br \/>Trading<br \/>Value<\/td>\n<td>Median<br \/>Mod Dur<br \/>(YTW)<\/td>\n<td>Issues<\/td>\n<td>Day&#8217;s Perf.<\/td>\n<td>Index Value<\/td>\n<\/tr>\n<tr>\n<td>Ratchet<\/td>\n<td>0.00 %<\/td>\n<td>0.00 %<\/td>\n<td>0<\/td>\n<td>0.00<\/td>\n<td>0<\/td>\n<td>0.6723 %<\/td>\n<td>2,977.7<\/td>\n<\/tr>\n<tr>\n<td>FixedFloater<\/td>\n<td>0.00 %<\/td>\n<td>0.00 %<\/td>\n<td>0<\/td>\n<td>0.00<\/td>\n<td>0<\/td>\n<td>0.6723 %<\/td>\n<td>5,464.0<\/td>\n<\/tr>\n<tr>\n<td>Floater<\/td>\n<td>3.36 %<\/td>\n<td>3.59 %<\/td>\n<td>70,473<\/td>\n<td>18.23<\/td>\n<td>4<\/td>\n<td>0.6723 %<\/td>\n<td>3,148.9<\/td>\n<\/tr>\n<tr>\n<td>OpRet<\/td>\n<td>0.00 %<\/td>\n<td>0.00 %<\/td>\n<td>0<\/td>\n<td>0.00<\/td>\n<td>0<\/td>\n<td>-0.1590 %<\/td>\n<td>3,173.9<\/td>\n<\/tr>\n<tr>\n<td>SplitShare<\/td>\n<td>4.63 %<\/td>\n<td>4.53 %<\/td>\n<td>78,777<\/td>\n<td>5.02<\/td>\n<td>5<\/td>\n<td>-0.1590 %<\/td>\n<td>3,790.3<\/td>\n<\/tr>\n<tr>\n<td>Interest-Bearing<\/td>\n<td>0.00 %<\/td>\n<td>0.00 %<\/td>\n<td>0<\/td>\n<td>0.00<\/td>\n<td>0<\/td>\n<td>-0.1590 %<\/td>\n<td>2,957.4<\/td>\n<\/tr>\n<tr>\n<td>Perpetual-Premium<\/td>\n<td>5.63 %<\/td>\n<td>-6.28 %<\/td>\n<td>63,267<\/td>\n<td>0.09<\/td>\n<td>9<\/td>\n<td>-0.0654 %<\/td>\n<td>2,872.6<\/td>\n<\/tr>\n<tr>\n<td>Perpetual-Discount<\/td>\n<td>5.41 %<\/td>\n<td>5.52 %<\/td>\n<td>61,559<\/td>\n<td>14.57<\/td>\n<td>26<\/td>\n<td>-0.0116 %<\/td>\n<td>2,940.5<\/td>\n<\/tr>\n<tr>\n<td>FixedReset<\/td>\n<td>4.31 %<\/td>\n<td>4.72 %<\/td>\n<td>155,303<\/td>\n<td>5.68<\/td>\n<td>105<\/td>\n<td>0.0103 %<\/td>\n<td>2,536.1<\/td>\n<\/tr>\n<tr>\n<td>Deemed-Retractible<\/td>\n<td>5.19 %<\/td>\n<td>5.75 %<\/td>\n<td>70,170<\/td>\n<td>5.58<\/td>\n<td>27<\/td>\n<td>0.0724 %<\/td>\n<td>2,940.7<\/td>\n<\/tr>\n<tr>\n<td>FloatingReset<\/td>\n<td>3.05 %<\/td>\n<td>3.70 %<\/td>\n<td>36,083<\/td>\n<td>3.47<\/td>\n<td>9<\/td>\n<td>0.2607 %<\/td>\n<td>2,791.6<\/td>\n<\/tr>\n<\/table>\n<table border=\"1\">\n<tr>\n<td colspan=\"4\"><strong>Performance Highlights<\/strong><\/td>\n<\/tr>\n<tr>\n<td>Issue<\/td>\n<td>Index<\/td>\n<td>Change<\/td>\n<td>Notes<\/td>\n<\/tr>\n<tr>\n<td>MFC.PR.K<\/td>\n<td>FixedReset<\/td>\n<td>-1.38 %<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Hard Maturity<br \/>\nMaturity Date\t: 2025-01-31<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 22.19<br \/>\nBid-YTW : 6.45 %<\/td>\n<\/tr>\n<tr>\n<td>GWO.PR.N<\/td>\n<td>FixedReset<\/td>\n<td>-1.34 %<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Hard Maturity<br \/>\nMaturity Date\t: 2025-01-31<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 19.09<br \/>\nBid-YTW : 7.42 %<\/td>\n<\/tr>\n<tr>\n<td>SLF.PR.G<\/td>\n<td>FixedReset<\/td>\n<td>1.24 %<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Hard Maturity<br \/>\nMaturity Date\t: 2025-01-31<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 19.64<br \/>\nBid-YTW : 7.23 %<\/td>\n<\/tr>\n<tr>\n<td>BAM.PR.K<\/td>\n<td>Floater<\/td>\n<td>1.37 %<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-06-06<br \/>\nMaturity Price  : 16.98<br \/>\nEvaluated at bid price : 16.98<br \/>\nBid-YTW : 3.59 %<\/td>\n<\/tr>\n<tr>\n<td>CU.PR.C<\/td>\n<td>FixedReset<\/td>\n<td>2.50 %<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-06-06<br \/>\nMaturity Price  : 22.07<br \/>\nEvaluated at bid price : 22.56<br \/>\nBid-YTW : 4.75 %<\/td>\n<\/tr>\n<\/table>\n<table border=\"1\">\n<tr>\n<td colspan=\"4\"><strong>Volume Highlights<\/strong><\/td>\n<\/tr>\n<tr>\n<td>Issue<\/td>\n<td>Index<\/td>\n<td>Shares<br \/>Traded<\/td>\n<td>Notes<\/td>\n<\/tr>\n<tr>\n<td>IFC.PR.G<\/td>\n<td>FixedReset<\/td>\n<td>45,843<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Hard Maturity<br \/>\nMaturity Date\t: 2025-01-31<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 24.70<br \/>\nBid-YTW : 5.13 %<\/td>\n<\/tr>\n<tr>\n<td>TD.PF.J<\/td>\n<td>FixedReset<\/td>\n<td>34,670<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-06-06<br \/>\nMaturity Price  : 23.21<br \/>\nEvaluated at bid price : 25.12<br \/>\nBid-YTW : 4.75 %<\/td>\n<\/tr>\n<tr>\n<td>EMA.PR.H<\/td>\n<td>FixedReset<\/td>\n<td>26,700<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-06-06<br \/>\nMaturity Price  : 23.17<br \/>\nEvaluated at bid price : 25.07<br \/>\nBid-YTW : 4.81 %<\/td>\n<\/tr>\n<tr>\n<td>TD.PF.H<\/td>\n<td>FixedReset<\/td>\n<td>26,191<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Call<br \/>\nMaturity Date\t: 2021-10-31<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 25.99<br \/>\nBid-YTW : 3.77 %<\/td>\n<\/tr>\n<tr>\n<td>RY.PR.P<\/td>\n<td>Perpetual-Premium<\/td>\n<td>23,310<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Call<br \/>\nMaturity Date\t: 2025-02-24<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 25.23<br \/>\nBid-YTW : 5.15 %<\/td>\n<\/tr>\n<tr>\n<td>TD.PR.T<\/td>\n<td>FloatingReset<\/td>\n<td>23,302<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Call<br \/>\nMaturity Date\t: 2018-07-31<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 25.09<br \/>\nBid-YTW : 2.28 %<\/td>\n<\/tr>\n<tr>\n<td colspan=\"4\">There were 17 other index-included issues trading in excess of 10,000 shares.<\/td>\n<\/tr>\n<\/table>\n<table border=\"1\">\n<tr>\n<td colspan=\"3\"><strong>Wide Spread Highlights<\/strong><\/td>\n<\/tr>\n<tr>\n<td>Issue<\/td>\n<td>Index<\/td>\n<td>Quote Data and Yield Notes<\/td>\n<\/tr>\n<tr>\n<td>PVS.PR.B<\/td>\n<td>SplitShare<\/td>\n<td>Quote: 25.05 &#8211; 25.62<br \/>\nSpot Rate  :  0.5700<br \/>\nAverage  :  0.4517<\/p>\n<p>YTW SCENARIO<br \/>\nMaturity Type   : Hard Maturity<br \/>\nMaturity Date\t: 2019-01-10<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 25.05<br \/>\nBid-YTW : 4.00 %<\/td>\n<\/tr>\n<tr>\n<td>IFC.PR.F<\/td>\n<td>Deemed-Retractible<\/td>\n<td>Quote: 24.85 &#8211; 25.25<br \/>\nSpot Rate  :  0.4000<br \/>\nAverage  :  0.2965<\/p>\n<p>YTW SCENARIO<br \/>\nMaturity Type   : Hard Maturity<br \/>\nMaturity Date\t: 2025-01-31<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 24.85<br \/>\nBid-YTW : 5.62 %<\/td>\n<\/tr>\n<tr>\n<td>MFC.PR.O<\/td>\n<td>FixedReset<\/td>\n<td>Quote: 26.21 &#8211; 26.54<br \/>\nSpot Rate  :  0.3300<br \/>\nAverage  :  0.2298<\/p>\n<p>YTW SCENARIO<br \/>\nMaturity Type   : Call<br \/>\nMaturity Date\t: 2021-06-19<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 26.21<br \/>\nBid-YTW : 3.85 %<\/td>\n<\/tr>\n<tr>\n<td>RY.PR.P<\/td>\n<td>Perpetual-Premium<\/td>\n<td>Quote: 25.23 &#8211; 25.50<br \/>\nSpot Rate  :  0.2700<br \/>\nAverage  :  0.1762<\/p>\n<p>YTW SCENARIO<br \/>\nMaturity Type   : Call<br \/>\nMaturity Date\t: 2025-02-24<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 25.23<br \/>\nBid-YTW : 5.15 %<\/td>\n<\/tr>\n<tr>\n<td>GWO.PR.N<\/td>\n<td>FixedReset<\/td>\n<td>Quote: 19.09 &#8211; 19.42<br \/>\nSpot Rate  :  0.3300<br \/>\nAverage  :  0.2529<\/p>\n<p>YTW SCENARIO<br \/>\nMaturity Type   : Hard Maturity<br \/>\nMaturity Date\t: 2025-01-31<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 19.09<br \/>\nBid-YTW : 7.42 %<\/td>\n<\/tr>\n<tr>\n<td>MFC.PR.K<\/td>\n<td>FixedReset<\/td>\n<td>Quote: 22.19 &#8211; 22.64<br \/>\nSpot Rate  :  0.4500<br \/>\nAverage  :  0.3832<\/p>\n<p>YTW SCENARIO<br \/>\nMaturity Type   : Hard Maturity<br \/>\nMaturity Date\t: 2025-01-31<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 22.19<br \/>\nBid-YTW : 6.45 %<\/td>\n<\/tr>\n<\/table>\n","protected":false},"excerpt":{"rendered":"<p>PerpetualDiscounts now yield 5.52%, equivalent to 7.18% interest at the standard equivalency factor of 1.3x. Long corporates now yield a little over 3.90%, so the pre-tax interest-equivalent spread (in this context, the &#8220;Seniority Spread&#8221;) is &hellip;<\/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-49445","post","type-post","status-publish","format-standard","hentry","category-market-action"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/49445","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=49445"}],"version-history":[{"count":1,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/49445\/revisions"}],"predecessor-version":[{"id":49446,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/49445\/revisions\/49446"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=49445"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=49445"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=49445"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}