{"id":49563,"date":"2018-08-01T21:27:00","date_gmt":"2018-08-02T01:27:00","guid":{"rendered":"https:\/\/prefblog.com\/?p=49563"},"modified":"2025-08-21T21:28:27","modified_gmt":"2025-08-22T01:28:27","slug":"august-1-2018","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=49563","title":{"rendered":"August 1, 2018"},"content":{"rendered":"<p>PerpetualDiscounts now yield 5.52%, equivalent to 7.18% interest at the standard equivalency factor of 1.3x. <a href=\"https:\/\/www.ftse.com\/products\/FTSETMX\/Home\/Indices\">Long corporates<\/a> now yield about 3.98%, so the pre-tax interest-equivalent spread (in this context, the &#8220;Seniority Spread&#8221;) is now about 320bp, unchanged from the <a href=\"http:\/\/prefblog.com\/?p=36964\">July 25<\/a> report.<\/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>0.0401 %<\/td>\n<td>3,124.7<\/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>0.0401 %<\/td>\n<td>5,733.7<\/td>\n<\/tr>\n<tr>\n<td>Floater<\/td>\n<td>3.46 %<\/td>\n<td>3.64 %<\/td>\n<td>55,502<\/td>\n<td>18.19<\/td>\n<td>4<\/td>\n<td>0.0401 %<\/td>\n<td>3,304.4<\/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>0.0158 %<\/td>\n<td>3,206.8<\/td>\n<\/tr>\n<tr>\n<td>SplitShare<\/td>\n<td>4.58 %<\/td>\n<td>4.40 %<\/td>\n<td>48,072<\/td>\n<td>4.87<\/td>\n<td>5<\/td>\n<td>0.0158 %<\/td>\n<td>3,829.5<\/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>0.0158 %<\/td>\n<td>2,988.0<\/td>\n<\/tr>\n<tr>\n<td>Perpetual-Premium<\/td>\n<td>5.62 %<\/td>\n<td>-13.67 %<\/td>\n<td>59,188<\/td>\n<td>0.09<\/td>\n<td>10<\/td>\n<td>-0.0354 %<\/td>\n<td>2,914.3<\/td>\n<\/tr>\n<tr>\n<td>Perpetual-Discount<\/td>\n<td>5.40 %<\/td>\n<td>5.52 %<\/td>\n<td>54,382<\/td>\n<td>14.62<\/td>\n<td>25<\/td>\n<td>0.0447 %<\/td>\n<td>2,987.7<\/td>\n<\/tr>\n<tr>\n<td>FixedReset<\/td>\n<td>4.29 %<\/td>\n<td>4.65 %<\/td>\n<td>127,183<\/td>\n<td>3.90<\/td>\n<td>107<\/td>\n<td>0.2047 %<\/td>\n<td>2,575.4<\/td>\n<\/tr>\n<tr>\n<td>Deemed-Retractible<\/td>\n<td>5.14 %<\/td>\n<td>5.98 %<\/td>\n<td>63,270<\/td>\n<td>5.43<\/td>\n<td>26<\/td>\n<td>-0.0194 %<\/td>\n<td>2,978.3<\/td>\n<\/tr>\n<tr>\n<td>FloatingReset<\/td>\n<td>3.35 %<\/td>\n<td>3.56 %<\/td>\n<td>33,058<\/td>\n<td>5.76<\/td>\n<td>7<\/td>\n<td>0.1292 %<\/td>\n<td>2,836.7<\/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 : 22.89<br \/>\nBid-YTW : 6.13 %<\/td>\n<\/tr>\n<tr>\n<td>PWF.PR.A<\/td>\n<td>Floater<\/td>\n<td>-1.21 %<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-08-01<br \/>\nMaturity Price  : 21.24<br \/>\nEvaluated at bid price : 21.24<br \/>\nBid-YTW : 3.04 %<\/td>\n<\/tr>\n<tr>\n<td>GWO.PR.N<\/td>\n<td>FixedReset<\/td>\n<td>1.00 %<\/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 : 19.13<br \/>\nBid-YTW : 7.63 %<\/td>\n<\/tr>\n<tr>\n<td>BAM.PR.C<\/td>\n<td>Floater<\/td>\n<td>1.07 %<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-08-01<br \/>\nMaturity Price  : 17.88<br \/>\nEvaluated at bid price : 17.88<br \/>\nBid-YTW : 3.65 %<\/td>\n<\/tr>\n<tr>\n<td>NA.PR.W<\/td>\n<td>FixedReset<\/td>\n<td>1.60 %<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-08-01<br \/>\nMaturity Price  : 22.51<br \/>\nEvaluated at bid price : 22.91<br \/>\nBid-YTW : 4.80 %<\/td>\n<\/tr>\n<tr>\n<td>TD.PF.A<\/td>\n<td>FixedReset<\/td>\n<td>1.67 %<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-08-01<br \/>\nMaturity Price  : 23.31<br \/>\nEvaluated at bid price : 23.79<br \/>\nBid-YTW : 4.62 %<\/td>\n<\/tr>\n<tr>\n<td>EMA.PR.C<\/td>\n<td>FixedReset<\/td>\n<td>1.82 %<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-08-01<br \/>\nMaturity Price  : 22.82<br \/>\nEvaluated at bid price : 24.11<br \/>\nBid-YTW : 4.97 %<\/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>TD.PF.B<\/td>\n<td>FixedReset<\/td>\n<td>79,603<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-08-01<br \/>\nMaturity Price  : 22.93<br \/>\nEvaluated at bid price : 23.49<br \/>\nBid-YTW : 4.71 %<\/td>\n<\/tr>\n<tr>\n<td>TD.PF.H<\/td>\n<td>FixedReset<\/td>\n<td>70,075<\/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 : 25.94<br \/>\nBid-YTW : 3.63 %<\/td>\n<\/tr>\n<tr>\n<td>CM.PR.S<\/td>\n<td>FixedReset<\/td>\n<td>60,353<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-08-01<br \/>\nMaturity Price  : 22.73<br \/>\nEvaluated at bid price : 23.81<br \/>\nBid-YTW : 4.80 %<\/td>\n<\/tr>\n<tr>\n<td>BMO.PR.C<\/td>\n<td>FixedReset<\/td>\n<td>57,100<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Call<br \/>\nMaturity Date\t: 2022-05-25<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 25.31<br \/>\nBid-YTW : 4.08 %<\/td>\n<\/tr>\n<tr>\n<td>CM.PR.R<\/td>\n<td>FixedReset<\/td>\n<td>53,919<\/td>\n<td>YTW SCENARIO<br \/>\nMaturity Type   : Call<br \/>\nMaturity Date\t: 2022-07-31<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 25.29<br \/>\nBid-YTW : 4.11 %<\/td>\n<\/tr>\n<tr>\n<td>MFC.PR.K<\/td>\n<td>FixedReset<\/td>\n<td>53,194<\/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 : 22.89<br \/>\nBid-YTW : 6.13 %<\/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>PWF.PR.A<\/td>\n<td>Floater<\/td>\n<td>Quote: 21.24 &#8211; 22.00<br \/>\nSpot Rate  :  0.7600<br \/>\nAverage  :  0.6079<\/p>\n<p>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-08-01<br \/>\nMaturity Price  : 21.24<br \/>\nEvaluated at bid price : 21.24<br \/>\nBid-YTW : 3.04 %<\/td>\n<\/tr>\n<tr>\n<td>MFC.PR.K<\/td>\n<td>FixedReset<\/td>\n<td>Quote: 22.89 &#8211; 23.40<br \/>\nSpot Rate  :  0.5100<br \/>\nAverage  :  0.3658<\/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 : 22.89<br \/>\nBid-YTW : 6.13 %<\/td>\n<\/tr>\n<tr>\n<td>VNR.PR.A<\/td>\n<td>FixedReset<\/td>\n<td>Quote: 24.99 &#8211; 25.35<br \/>\nSpot Rate  :  0.3600<br \/>\nAverage  :  0.2715<\/p>\n<p>YTW SCENARIO<br \/>\nMaturity Type   : Call<br \/>\nMaturity Date\t: 2022-10-15<br \/>\nMaturity Price  : 25.00<br \/>\nEvaluated at bid price : 24.99<br \/>\nBid-YTW : 4.71 %<\/td>\n<\/tr>\n<tr>\n<td>IAG.PR.G<\/td>\n<td>FixedReset<\/td>\n<td>Quote: 23.79 &#8211; 24.12<br \/>\nSpot Rate  :  0.3300<br \/>\nAverage  :  0.2478<\/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 : 23.79<br \/>\nBid-YTW : 5.24 %<\/td>\n<\/tr>\n<tr>\n<td>BAM.PF.E<\/td>\n<td>FixedReset<\/td>\n<td>Quote: 23.72 &#8211; 24.02<br \/>\nSpot Rate  :  0.3000<br \/>\nAverage  :  0.2208<\/p>\n<p>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-08-01<br \/>\nMaturity Price  : 23.33<br \/>\nEvaluated at bid price : 23.72<br \/>\nBid-YTW : 5.00 %<\/td>\n<\/tr>\n<tr>\n<td>RY.PR.H<\/td>\n<td>FixedReset<\/td>\n<td>Quote: 23.69 &#8211; 23.89<br \/>\nSpot Rate  :  0.2000<br \/>\nAverage  :  0.1327<\/p>\n<p>YTW SCENARIO<br \/>\nMaturity Type   : Limit Maturity<br \/>\nMaturity Date\t: 2048-08-01<br \/>\nMaturity Price  : 23.15<br \/>\nEvaluated at bid price : 23.69<br \/>\nBid-YTW : 4.65 %<\/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 about 3.98%, so the pre-tax interest-equivalent spread (in this context, the &#8220;Seniority Spread&#8221;) is now about &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-49563","post","type-post","status-publish","format-standard","hentry","category-market-action"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/49563","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=49563"}],"version-history":[{"count":1,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/49563\/revisions"}],"predecessor-version":[{"id":49564,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/49563\/revisions\/49564"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=49563"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=49563"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=49563"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}