June 24 Update - Canada's Big Bank Preferreds
Long Only, Value, Growth At A Reasonable Price, Long-Term Horizon
Seeking Alpha Analyst Since 2013
It was a less volatile week this past week, although that is not to say volatility disappeared. National Bank's (OTCPK:NTIOF) NA.PR.Q shares rallied 1.5% on Friday despite the general market volatility caused by the Brexit vote. Overall, the preferred shares tracked below shrugged off the results, with nine of 21 issues closing up on the day, another nine closing down and three unchanged.
On the week, most series were up, which reduced the IRRs. Rate reset IRRs were generally down 0.5%-1.0%, while floating rate IRRs were down ~0.3%.
There was no movement in the top three rate reset issues (ranked by IRR 1), while Scotia's (BNS) BNS.PR.D shares end the week as the highest-IRR floating shares, just below the 10% mark.
To receive a notification when I post updates, click the Follow button at the top left of the screen below my name.
Analyst's Disclosure: I am/we are long BMO.PR.Q, BNS.PR.Y, BMO.PR.R.
This article is not intended as investment advice. You are responsible for determining whether an investment fits your portfolio and risk tolerance.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.