{"id":5395,"date":"2009-02-07T01:32:56","date_gmt":"2009-02-07T05:32:56","guid":{"rendered":"http:\/\/www.prefblog.com\/?p=5395"},"modified":"2009-02-07T01:32:56","modified_gmt":"2009-02-07T05:32:56","slug":"james-hymas-quoted-in-financial-post","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=5395","title":{"rendered":"James Hymas Quoted in Financial Post"},"content":{"rendered":"<p>The February 5 Financial Post had an article titled <a href=\"http:\/\/www.financialpost.com\/story.html?id=1254780\">Investors Prefer Preferreds<\/a>, a short piece about the popularity of Fixed Resets. I was able to offer one reason why they are popular with investors:<\/p>\n<blockquote><p>&#8220;Fear levels have ratcheted up,&#8221; said James Hymas, president and portfolio manager at Hymas Investment Management. &#8220;They are flocking to this because the new structure is giving them some degree of comfort.&#8221;<\/p><\/blockquote>\n<p>&#8230; and one reason why the banks like them &#8230;<\/p>\n<blockquote><p>&#8220;One reason the banks like this new structure is because they have a call at par in five years,&#8221; Mr. Hymas said.<\/p><\/blockquote>\n<p>Well, I can tell you one thing &#8211; it&#8217;s getting to be a very strange market! There are issues trading at a discount for which the YTW scenario is a call at par as soon as possible &#8211; because the reset makes the perpetual yield higher. And other issues which have a &#8220;five year yield&#8221; (&#8216;yield to next call&#8217; would be a more precise way of expressing the scenario) so high that investors are either (a) trading them as perpetuals, or (b) stupid.<\/p>\n<p>It makes it very difficult to fit the data into a unified theory!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The February 5 Financial Post had an article titled Investors Prefer Preferreds, a short piece about the popularity of Fixed Resets. I was able to offer one reason why they are popular with investors: &#8220;Fear &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[19],"tags":[],"class_list":["post-5395","post","type-post","status-publish","format-standard","hentry","category-press-clippings"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/5395","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=5395"}],"version-history":[{"count":0,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/5395\/revisions"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=5395"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=5395"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=5395"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}