I have not been so active lately on writing articles; however, I have noticed that my article titled How to Make 9%+ Annually With Canada's Big Bank Preferreds still garners a lot of views three months after publication. (If you have not read the article yet, please do so - it explains a lot of background info that is useful in understanding the numbers below.)
This trade has worked out quite well for me so far, with absolute returns in the 15% range - prices have appreciated faster than I anticipated. While these returns are great for shareholders, it does mean that the figures contained in the original article are very out of date and the shares I highlighted in that article no longer provide 9%+ returns.
As such, I thought I would provide a quick update (see chart below).
My thesis on these shares remains unchanged from what was outlined in my original article. I continue to monitor for price changes that provide better return opportunities and I will do my best to provide more frequent updates in the future.
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Disclosure: I am/we are long BMO.PR.Q, BNS.PR.Y, BMO.PR.R.
Additional disclosure: This post is not intended as investment advice. You are responsible for determining whether an investment fits your portfolio and risk tolerance.