{"id":50972,"date":"2019-11-06T22:23:00","date_gmt":"2019-11-07T03:23:00","guid":{"rendered":"https:\/\/prefblog.com\/?p=50972"},"modified":"2025-11-24T22:24:49","modified_gmt":"2025-11-25T03:24:49","slug":"november-6-2019","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=50972","title":{"rendered":"November 6, 2019"},"content":{"rendered":"

Another bubble has burst<\/a>:<\/p>\n

A real estate developer who raised tens of millions of dollars from dozens of individual investors bundled into syndicated mortgages to fund Toronto-area condominium buildings is facing an investor revolt on one project and insolvency on another.<\/p>\n

Dimitrios (Jim) Neilas, chief executive officer of Storey Living Inc., is facing legal fights on two fronts as projects he has pushed \u2013 known as the Adelaide Lofts in downtown Toronto and the OpArt condos in Oakville \u2013 are now subject to court actions from creditors seeking to sell land parcels that he had hoped to make into condominium or rental properties. At stake are millions of dollars for small investors whose loans are not registered and not protected in an insolvency process, or in the settlement deals proposed by the debtors.
…<\/b>
Noor Al-Awqati, the chief operating officer of Hi-Rise Capital Ltd. and principal mortgage broker for the company, denied some of [Ontario\u2019s Superintendent of Financial Services’] claims in an April 3, 2019 affidavit, saying Hi-Rise has received no fees from the Adelaide project since at least September, 2017. He admits to the 14 per cent commission paid on the initial investments, but said Hi-Rise transferred 10 or 12 per cent of each commission to third-parties who referred the investors.<\/p>\n<\/blockquote>\n

What a great business, eh? 14% commission!<\/p>\n

The Ontario Ministry of Finance has announced<\/a>:<\/p>\n

As dividends are paid out of after\u2010tax corporate earnings, individual shareholders receive dividend tax credits, the rate of which approximates the CIT rate paid by the corporation. Corresponding to the reduction in the small business CIT rate, Ontario\u2019s small business (non\u2010eligible) dividend tax credit rate would be reduced from 3.2863 per cent to 2.9863 per cent, effective January 1, 2020. As a result, recipients of non\u2010eligible dividends would receive reduced dividend tax credits.<\/p>\n<\/blockquote>\n

Apparently (see the Annex) this will raise 55-million annually once it’s running, about 60% of the cost of reducing the small business CIT rate.<\/p>\n

PerpetualDiscounts now yield 5.44%, equivalent to 7.07% interest at the standard equivalency factor of 1.3x. Long corporates<\/a> now yield 3.34%, so the pre-tax interest-equivalent spread (in this context, the \u201cSeniority Spread\u201d) has widened sharply to 375bp from the 355bp reported October 30<\/a>.<\/p>\n\n\n\n\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>\n-0.1327 %<\/td>\n1,974.1<\/td>\n<\/tr>\n
FixedFloater<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n-0.1327 %<\/td>\n3,622.4<\/td>\n<\/tr>\n
Floater<\/td>\n6.12 %<\/td>\n6.26 %<\/td>\n48,406<\/td>\n13.48<\/td>\n4<\/td>\n-0.1327 %<\/td>\n2,087.6<\/td>\n<\/tr>\n
OpRet<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n0.1689 %<\/td>\n3,392.7<\/td>\n<\/tr>\n
SplitShare<\/td>\n4.64 %<\/td>\n4.64 %<\/td>\n51,675<\/td>\n3.89<\/td>\n7<\/td>\n0.1689 %<\/td>\n4,051.6<\/td>\n<\/tr>\n
Interest-Bearing<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n0.1689 %<\/td>\n3,161.2<\/td>\n<\/tr>\n
Perpetual-Premium<\/td>\n5.56 %<\/td>\n-18.68 %<\/td>\n52,086<\/td>\n0.09<\/td>\n10<\/td>\n0.2045 %<\/td>\n3,033.5<\/td>\n<\/tr>\n
Perpetual-Discount<\/td>\n5.32 %<\/td>\n5.44 %<\/td>\n67,719<\/td>\n14.74<\/td>\n25<\/td>\n0.0727 %<\/td>\n3,244.7<\/td>\n<\/tr>\n
FixedReset Disc<\/td>\n5.62 %<\/td>\n5.76 %<\/td>\n173,571<\/td>\n14.24<\/td>\n66<\/td>\n-0.2244 %<\/td>\n2,091.6<\/td>\n<\/tr>\n
Deemed-Retractible<\/td>\n5.18 %<\/td>\n5.64 %<\/td>\n64,089<\/td>\n7.81<\/td>\n27<\/td>\n0.0626 %<\/td>\n3,188.4<\/td>\n<\/tr>\n
FloatingReset<\/td>\n6.21 %<\/td>\n6.78 %<\/td>\n94,392<\/td>\n12.78<\/td>\n2<\/td>\n-0.2216 %<\/td>\n2,470.0<\/td>\n<\/tr>\n
FixedReset Prem<\/td>\n5.12 %<\/td>\n3.75 %<\/td>\n152,371<\/td>\n1.63<\/td>\n20<\/td>\n-0.0407 %<\/td>\n2,619.1<\/td>\n<\/tr>\n
FixedReset Bank Non<\/td>\n1.96 %<\/td>\n3.94 %<\/td>\n90,929<\/td>\n2.16<\/td>\n3<\/td>\n-0.2064 %<\/td>\n2,695.7<\/td>\n<\/tr>\n
FixedReset Ins Non<\/td>\n5.43 %<\/td>\n8.21 %<\/td>\n111,656<\/td>\n7.80<\/td>\n22<\/td>\n-0.0966 %<\/td>\n2,133.7<\/td>\n<\/tr>\n<\/table>\n\n\n\n\n\n\n\n\n\n\n\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
TRP.PR.C<\/td>\nFixedReset Disc<\/td>\n-3.14 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 11.71
\nEvaluated at bid price : 11.71
\nBid-YTW : 6.51 %<\/td>\n<\/tr>\n
BAM.PR.K<\/td>\nFloater<\/td>\n-2.15 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 10.92
\nEvaluated at bid price : 10.92
\nBid-YTW : 6.42 %<\/td>\n<\/tr>\n
TRP.PR.E<\/td>\nFixedReset Disc<\/td>\n-2.07 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 15.62
\nEvaluated at bid price : 15.62
\nBid-YTW : 6.22 %<\/td>\n<\/tr>\n
IFC.PR.A<\/td>\nFixedReset Ins Non<\/td>\n-1.95 %<\/td>\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2030-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 14.56
\nBid-YTW : 10.03 %<\/td>\n<\/tr>\n
TD.PF.I<\/td>\nFixedReset Disc<\/td>\n-1.57 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 20.68
\nEvaluated at bid price : 20.68
\nBid-YTW : 5.53 %<\/td>\n<\/tr>\n
MFC.PR.R<\/td>\nFixedReset Ins Non<\/td>\n-1.26 %<\/td>\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2030-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 24.31
\nBid-YTW : 5.71 %<\/td>\n<\/tr>\n
PWF.PR.P<\/td>\nFixedReset Disc<\/td>\n-1.21 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 13.03
\nEvaluated at bid price : 13.03
\nBid-YTW : 5.96 %<\/td>\n<\/tr>\n
NA.PR.S<\/td>\nFixedReset Disc<\/td>\n-1.21 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 17.14
\nEvaluated at bid price : 17.14
\nBid-YTW : 5.81 %<\/td>\n<\/tr>\n
TD.PF.E<\/td>\nFixedReset Disc<\/td>\n-1.20 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 18.87
\nEvaluated at bid price : 18.87
\nBid-YTW : 5.84 %<\/td>\n<\/tr>\n
TRP.PR.D<\/td>\nFixedReset Disc<\/td>\n-1.11 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 16.04
\nEvaluated at bid price : 16.04
\nBid-YTW : 6.16 %<\/td>\n<\/tr>\n
BAM.PR.B<\/td>\nFloater<\/td>\n1.08 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 11.20
\nEvaluated at bid price : 11.20
\nBid-YTW : 6.26 %<\/td>\n<\/tr>\n
IFC.PR.E<\/td>\nDeemed-Retractible<\/td>\n1.12 %<\/td>\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2030-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 24.40
\nBid-YTW : 5.62 %<\/td>\n<\/tr>\n
NA.PR.G<\/td>\nFixedReset Disc<\/td>\n1.26 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 19.35
\nEvaluated at bid price : 19.35
\nBid-YTW : 5.80 %<\/td>\n<\/tr>\n
BMO.PR.Y<\/td>\nFixedReset Disc<\/td>\n1.35 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 18.80
\nEvaluated at bid price : 18.80
\nBid-YTW : 5.65 %<\/td>\n<\/tr>\n
CU.PR.C<\/td>\nFixedReset Disc<\/td>\n1.51 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 16.80
\nEvaluated at bid price : 16.80
\nBid-YTW : 5.76 %<\/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
CU.PR.E<\/td>\nPerpetual-Discount<\/td>\n330,524<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 22.62
\nEvaluated at bid price : 22.90
\nBid-YTW : 5.34 %<\/td>\n<\/tr>\n
BAM.PR.X<\/td>\nFixedReset Disc<\/td>\n223,100<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 13.46
\nEvaluated at bid price : 13.46
\nBid-YTW : 6.10 %<\/td>\n<\/tr>\n
SLF.PR.D<\/td>\nDeemed-Retractible<\/td>\n53,386<\/td>\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2030-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 21.10
\nBid-YTW : 6.68 %<\/td>\n<\/tr>\n
IFC.PR.G<\/td>\nFixedReset Ins Non<\/td>\n53,200<\/td>\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2030-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 18.43
\nBid-YTW : 8.45 %<\/td>\n<\/tr>\n
EMA.PR.H<\/td>\nFixedReset Disc<\/td>\n42,420<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 23.26
\nEvaluated at bid price : 24.95
\nBid-YTW : 4.83 %<\/td>\n<\/tr>\n
GWO.PR.S<\/td>\nDeemed-Retractible<\/td>\n39,920<\/td>\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2030-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 24.55
\nBid-YTW : 5.59 %<\/td>\n<\/tr>\n
There were 31 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
GWO.PR.I<\/td>\nDeemed-Retractible<\/td>\nQuote: 21.23 – 21.65
\nSpot Rate : 0.4200
\nAverage : 0.2829<\/p>\n

YTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2030-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 21.23
\nBid-YTW : 6.65 %<\/td>\n<\/tr>\n

CCS.PR.C<\/td>\nDeemed-Retractible<\/td>\nQuote: 23.91 – 24.58
\nSpot Rate : 0.6700
\nAverage : 0.5369<\/p>\n

YTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2030-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 23.91
\nBid-YTW : 5.67 %<\/td>\n<\/tr>\n

TRP.PR.E<\/td>\nFixedReset Disc<\/td>\nQuote: 15.62 – 16.11
\nSpot Rate : 0.4900
\nAverage : 0.3624<\/p>\n

YTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 15.62
\nEvaluated at bid price : 15.62
\nBid-YTW : 6.22 %<\/td>\n<\/tr>\n

PWF.PR.L<\/td>\nPerpetual-Discount<\/td>\nQuote: 23.42 – 23.83
\nSpot Rate : 0.4100
\nAverage : 0.3007<\/p>\n

YTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 23.16
\nEvaluated at bid price : 23.42
\nBid-YTW : 5.47 %<\/td>\n<\/tr>\n

TRP.PR.F<\/td>\nFloatingReset<\/td>\nQuote: 13.52 – 13.95
\nSpot Rate : 0.4300
\nAverage : 0.3245<\/p>\n

YTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 13.52
\nEvaluated at bid price : 13.52
\nBid-YTW : 6.78 %<\/td>\n<\/tr>\n

BIP.PR.E<\/td>\nFixedReset Disc<\/td>\nQuote: 22.66 – 22.94
\nSpot Rate : 0.2800
\nAverage : 0.1805<\/p>\n

YTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2049-11-06
\nMaturity Price : 22.18
\nEvaluated at bid price : 22.66
\nBid-YTW : 5.57 %<\/td>\n<\/tr>\n<\/table>\n","protected":false},"excerpt":{"rendered":"

Another bubble has burst: A real estate developer who raised tens of millions of dollars from dozens of individual investors bundled into syndicated mortgages to fund Toronto-area condominium buildings is facing an investor revolt on …<\/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-50972","post","type-post","status-publish","format-standard","hentry","category-market-action"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/50972","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=50972"}],"version-history":[{"count":1,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/50972\/revisions"}],"predecessor-version":[{"id":50973,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/50972\/revisions\/50973"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=50972"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=50972"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=50972"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}