Q: Would now be a good time to buy bank preferred shares?
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Investment Q&A
Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.
Q: Peter,
Where can I find the credit rating of specific preferred shares. ie PFD1,2,3 etc.?
Thank you
Paul
Where can I find the credit rating of specific preferred shares. ie PFD1,2,3 etc.?
Thank you
Paul
Q: Good morning.
I am looking to swap out some preferred shares that have dropped in value, for others that are approximately the same price. One that I found was TA-PR-H, however, I show them as not being profitable, and with high debt. You don't seem positive on the stock, according to other questions, but would you invest in their prefs?
Thanks, and enjoy your weekend everyone.
I am looking to swap out some preferred shares that have dropped in value, for others that are approximately the same price. One that I found was TA-PR-H, however, I show them as not being profitable, and with high debt. You don't seem positive on the stock, according to other questions, but would you invest in their prefs?
Thanks, and enjoy your weekend everyone.
Q: Hi there - looking for a little bit of US income - these both show up on my Rate Reset Preferred Share stock screen as currently undervalued. Your thoughts? KKR A and B
Q: Hi Guys.
I have a question about Rate Reset preferred shares. Where do you think the cutoff point is for a company not to extend their preferred share?
The call will affect my yield to maturity calculation.
As examples, TD Bank has a preferred share with a reset of GOC 5 year plus 1.68% (TD.PR.Y) and another at 4.66% (TD.PF.G). I would assume TD won’t call the 1.68% and will call the 4.66% at maturity.
I will ask the same question in the forums under “preferred shares” to get additional opinions from any member wanting to help another member.
Thanks for your insight.
John
I have a question about Rate Reset preferred shares. Where do you think the cutoff point is for a company not to extend their preferred share?
The call will affect my yield to maturity calculation.
As examples, TD Bank has a preferred share with a reset of GOC 5 year plus 1.68% (TD.PR.Y) and another at 4.66% (TD.PF.G). I would assume TD won’t call the 1.68% and will call the 4.66% at maturity.
I will ask the same question in the forums under “preferred shares” to get additional opinions from any member wanting to help another member.
Thanks for your insight.
John
Q: Good Morning,
I am considering adding this preferred share ETF for tax efficient income returns and to potentially cushion the portfolio a bit if (when) there is a downturn in equity markets. I do not hold any other fixed income. How will preferred shares perform in a downturn assuming interest rates may go up for a year or 2 more and then back down during a economic slowdown.
I am considering adding this preferred share ETF for tax efficient income returns and to potentially cushion the portfolio a bit if (when) there is a downturn in equity markets. I do not hold any other fixed income. How will preferred shares perform in a downturn assuming interest rates may go up for a year or 2 more and then back down during a economic slowdown.
Q: I need a little more information about the Hydro One Installment Receipts. They represent debentures? How many IRs per $1000 debenture?
If the transaction goes through, how many H shares does a holder receive for each receipt? (Is it based on a fixed number of shares, or a fixed value?).
If the deal does not go through, what does the receipt receive (a fixed $ amount)?
If the transaction goes through, how many H shares does a holder receive for each receipt? (Is it based on a fixed number of shares, or a fixed value?).
If the deal does not go through, what does the receipt receive (a fixed $ amount)?
Q: Hello, I own shares of Brookfield Office Properties 4.60% Cumulative Redeemable rate reset Class AAA preferred shares series T. Today the price is $23.18 and reset date is Dec 31, 2018. With the 5 year BoC rate increasing to 2.3% I would have figured the price of these shares to start increasing as the reset date gets closer. The mark-up is 3.16% and original B0C rate was 1.44%. Any thoughts.....thx
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iShares S&P/TSX Canadian Preferred Share Index ETF (CPD)
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Horizons Active Floating Rate Preferred Share ETF (HFP)
Q: Do rate reset preferred shares fare well as interest rares rise? Can you recommend any shares or an ETF?
Q: Can you recommend some good global bond etf's with Canadian Edged? Thanks
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iShares 1-5 Year Laddered Corporate Bond Index ETF (CBO)
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iShares 1-5 Year Laddered Government Bond Index ETF (CLF)
Q: Hi - I need to increase my fixed income allocation, Can you pls recommend some favorite ETFs issued in Cdn dollars. The assets can include US issues but no junk bonds please. Thanks for the help.
Q: Tricon announced they are redeeming TCN.DB.A on October 9th at a price of $1000. The debentures trade at $114. Does this mean that if you don't sell the debentures or convert them before October 9th, you'll get $100, even if they are trading way above that price?
Q: Preferred Shares: How to evaluate risk? How have blue chip preferred shares behaved during previous massive downturns such as 1987 and 2008? Have they gone down as much as regular shares? Thank you for your fine service.
Q: TD shows ECN’s projected earnings over next four quarters as 25 cents. Originally the preferred shares (ECN.PR.A) were rated Preferred -3 Low but perhaps deserve a higher rating if the common share estimated earnings are correct. Any view on the merit of adding to a small holding of this preferred (for income)?
Q: Hi there,
i have recently taken over managing my US 401K and am trying to replicate the income portfolio. There are so many US ETFs it is very difficult to understand the subtle differences between all the options out there. Would you consider VRP a good equivalent to the CPD in canada
i have recently taken over managing my US 401K and am trying to replicate the income portfolio. There are so many US ETFs it is very difficult to understand the subtle differences between all the options out there. Would you consider VRP a good equivalent to the CPD in canada
Q: Philip Aug 16 might want to check out ECN.pr.A
Q: CPD Normally price of prefs will go down when rates go up. The lower price increasing the rate of return to compete in the market.
I’ve been trying to get my head around the newer minimum rate reset prefs. What would be the effect on such prefs of rising and/lower interest rates.
For example let’s say the current 5 yr bond is1.75%,
What would be the effect of the rate at reset if the rate is 2% vs say 1,50%
Use ECN.PR.A for your explanation.
Correct my assumptions if I’m wrong.
Thank you,
Roy
I’ve been trying to get my head around the newer minimum rate reset prefs. What would be the effect on such prefs of rising and/lower interest rates.
For example let’s say the current 5 yr bond is1.75%,
What would be the effect of the rate at reset if the rate is 2% vs say 1,50%
Use ECN.PR.A for your explanation.
Correct my assumptions if I’m wrong.
Thank you,
Roy
Q: Could you recommend one or two rate reset preferreds that are significantly "underwater" but whose company prospects are reasonably good. As an example CPX.PR.E traded at $13 a couple of years ago and is now north of $23.
Thanks.
Philip
Thanks.
Philip
Q: Additional info you requested about ENBA. Enbridge inc.6.375% fixed to floating rate sub NTS 04/15/2078. Ser2018B. Your thoughts please with regard to it being an appropriate investment for my RRSP. Thanks for your input. What are the advantages and risks?
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iShares S&P/TSX Canadian Preferred Share Index ETF (CPD)
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BMO Laddered Preferred Share Index ETF (ZPR)
Q: Can you recommend a preferred share ETF that has rate reset preferred shares. And what percentage of a portfolio should it be?