Q: Hi Peter and Team, if you had to choose between Enbridge common share (ENB)and Enbridge Inc. cumulative redeemable pref shares series H (ENB.PR.H), which one would you select for income, appreciation potential and safety? Thanks, Gervais
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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: Hi Guys,
I need a replacement for my Russel Metals debenture that was just called by the company.
What do you think of BTB REIT? If you think the REIT is solid enough, which of BTB.DB.D or BTB.DB.E would you select as a "Speculative" fixed income investment.
Thanks
John
I need a replacement for my Russel Metals debenture that was just called by the company.
What do you think of BTB REIT? If you think the REIT is solid enough, which of BTB.DB.D or BTB.DB.E would you select as a "Speculative" fixed income investment.
Thanks
John
Q: I am trying to understand Mandalay's US$50 million of senior exchangeable bonds on their balance sheet (see below).
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US$50 million of senior exchangeable bonds issued April 29, 2014.
The Bonds, which will have a maturity date of five years from the issue date, will be issued at par and carry a coupon of 5.875% per annum payable quarterly in arrears. The Bonds will be exchangeable into ordinary shares of the NYSE Arca listed SPDR GOLD exchange tradable fund (the "GLD Shares") at an initial exchange price of US$149.99 which is a premium of 20% above the VWAP of GLD Shares on April 29, 2014 (currently equivalent to a gold price of approximately $1,556 per oz). Further details regarding the terms of the Bonds and the Loan Agreements, subject to the revised terms described herein are set out in the Company's press release of April 23, 2014.
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Could you comment on whether this bond issue is still a good deal for Mandalay given the huge drops in the SPDR price and the Cdn dollar.
Any help simplifying and interpreting this deal for me would be much appreciated - it seems very complicated !!
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US$50 million of senior exchangeable bonds issued April 29, 2014.
The Bonds, which will have a maturity date of five years from the issue date, will be issued at par and carry a coupon of 5.875% per annum payable quarterly in arrears. The Bonds will be exchangeable into ordinary shares of the NYSE Arca listed SPDR GOLD exchange tradable fund (the "GLD Shares") at an initial exchange price of US$149.99 which is a premium of 20% above the VWAP of GLD Shares on April 29, 2014 (currently equivalent to a gold price of approximately $1,556 per oz). Further details regarding the terms of the Bonds and the Loan Agreements, subject to the revised terms described herein are set out in the Company's press release of April 23, 2014.
=============================================================
Could you comment on whether this bond issue is still a good deal for Mandalay given the huge drops in the SPDR price and the Cdn dollar.
Any help simplifying and interpreting this deal for me would be much appreciated - it seems very complicated !!
Q: I bought $10,000 Canam Convertible Debenture in November, 2011. Since then I have been receiving interest payments interest payments of $312.50 on April 30 and October 31. In October, 2015 I received a call from my broker that the bonds were maturing on October 31, 2015 and I had to decide to receive shares or $10,000 face value by October 23, 2015. I chose shares and received 833 shares on October 28, 2015, with a payment for factional shares and $234.38 interest credited on October 30, 2015. Even though I chose shares I believe I should receive interest right to maturity which would be $312.50. Do you agree the company made a mistake when crediting my account? I phoned my broker and told them that I thought there was a mistake. They gave me Canam Group's investment relations number and said to phone them with my problem. Before I phone I wanted to get your opinion on whether you agree with my calculation.
Thank you.
Thank you.
Q: Hi,
Would the recent weakness in Boyd have anything to do with the convertible debentures that are now being converted into shares as per a press release today? What are your thoughts on the impact on the company and share price? Thanks.
Would the recent weakness in Boyd have anything to do with the convertible debentures that are now being converted into shares as per a press release today? What are your thoughts on the impact on the company and share price? Thanks.
Q: Hello Peter, can you tell me where can I find details of cumulative redeemable preference shares like, life, call price/date,etc. Which one of the above would you suggest, perhaps a better on or two.
Many thanks, J.P.Burlington
Many thanks, J.P.Burlington
Q: 5I Team,
Any thoughts in particular on TRP.PR.C? The 8%+ yield looks attractive, especially for a Blue Chip preferred, but I do see that the share price is down about 40% yoy as both the preferred and the energy sectors have come under pressure over that period. Would you touch this pfd now?
Thanks
Any thoughts in particular on TRP.PR.C? The 8%+ yield looks attractive, especially for a Blue Chip preferred, but I do see that the share price is down about 40% yoy as both the preferred and the energy sectors have come under pressure over that period. Would you touch this pfd now?
Thanks
Q: I am a retired investor looking for income. Corporate reset preferds look interesting at discounted prices. At what measurements are they reset? Can you recommend any thanks Paul
Q: What is your opinion on cpd?
is it a buy now and what is your future outlook?
Would cpd rise with a rise in interest rates and with interest rates at the bottom this would be a good entry here?
is it a buy now and what is your future outlook?
Would cpd rise with a rise in interest rates and with interest rates at the bottom this would be a good entry here?
Q: Hi Peter & team,
Quote from your answers to CPD
"We would be 'OK' with CPD for safe income. However for any strategy or fund that requires systematic withdrawals, such as an RRIF, we would not suggest it as a great ETF in which to initiate a position."
Please explain your position, thanks. In our case, the withdrawal will be equal to minimum
Quote from your answers to CPD
"We would be 'OK' with CPD for safe income. However for any strategy or fund that requires systematic withdrawals, such as an RRIF, we would not suggest it as a great ETF in which to initiate a position."
Please explain your position, thanks. In our case, the withdrawal will be equal to minimum
Q: What is causing the general spike in the prices of rate-reset preferred shares and is this a good time to buy? I was expecting selling pressure as we approach year-end to pick up good value (lock in spread vs GoC 5-yr in a 5 year ladder) but now I am fearful of both the potential for losses from currently elevated prices and of letting the opportunity slip away if they keep rising.
Q: What are your thoughts on this preferred share. Would you expect an increase in the price
Q: Would this be a good buy for income. The dividend is about 6%. Under what scenario could I lose money. I need to protect my capital. Thanks Cathleen
Q: What do you think of this as a bond substitute. Is the recent drop in price a concern or an opportunaty
Q: I notice there haven't been reports or comments on this company you cover for tha last year or so.
Has your opinion changed on it or is it basically the same as the 2014 report?
Do you think that the Dorel Convertible Debenture would be a sound addition to one's US fixed income portfolio?
Thanks
Has your opinion changed on it or is it basically the same as the 2014 report?
Do you think that the Dorel Convertible Debenture would be a sound addition to one's US fixed income portfolio?
Thanks
Q: I was looking at this preferred share innergex power 5.75% ser C perpetual price of $18.50 yield 7.77% and callable in jan18. Can you please explain the biggest risk with this type or security outside corporate risk ? Am i correct to assume that the yield of 7.7% is only until jan 2018 and the yield thereafter will be the terms of reset or is it a perpetual 7.7% ? Thank you
Q: I FIND ALL OF THESE PREFFEREDS TO HAVE GREAT DIVIDENDS AT CURRENT PRICES,ALL WERE ISSUED AT $25.00.AT SOME POINT IN THE FUTURE SHOULD THERE VALUE NOT RETURN TO OR NEAR ISSUE PRICE ?OR IS THERE SOMETHING I AM MISSING
Q: May I have you opinion on preferred shares? Specifically I would like you opinion of
Royal Bank of Canada 3.6% Non-Cum. 5-Year Rate Reset First Pref., Series BD
Call/Reset Date: 24-May-2020
Call Price: $25.00
Terms of Reset: 5yr GoC Yld + 2.74%
Close Price (13-Oct-15): $18.46
Since this is considered to be Non-Viability Contingent Capital, I believe there may be a good chance that this will be called. At the current price, would it be worth buying for the fixed income.
Thank-you
Royal Bank of Canada 3.6% Non-Cum. 5-Year Rate Reset First Pref., Series BD
Call/Reset Date: 24-May-2020
Call Price: $25.00
Terms of Reset: 5yr GoC Yld + 2.74%
Close Price (13-Oct-15): $18.46
Since this is considered to be Non-Viability Contingent Capital, I believe there may be a good chance that this will be called. At the current price, would it be worth buying for the fixed income.
Thank-you
Q: This pref looks to offer a good yield (~6.4%) and a good capital gain (at current price) in 2018. Am I missing something? Thanks.
Q: Can you explain what is "wrong" with this issue (very low and falling price) and why it is, or is not, a reasonable buy for income. I know it will reset at around 4 1/2% at present interest rate scenarios in 2019, but looks pretty good overall with a current yield of ~9.7%. Thanks.