Trading margins of ASX-listed notes and bonds generally retreated and the median trading margin dropped from 1.82% to 1.62%. Excluding securities which are close to maturity, the change in the median margin was driven by Suncorp Notes (ASX code: SUNPD, -49bps), which was one of the securities with a large margin increase last week, and AMP Notes (ASX code: AMPHAS, -48bps).
N.B. Charts of ASX-listed notes are now no longer divided by Financial/Non-financial categories.
The current 3 month BBSW rate is around 1.72%. Add the trading margin from the above chart or from the tables to 1.72% for a gross return per annum in the absence of BBSW rate changes. The gross return may contain imputation credits. BBSW typically is around 15bps (average since 1990) more than the RBA rate.
ASX LISTED FLOATING RATE NOTES
| COMPANY | CODE | BOND TYPE | MATURITY | ISSUE MARGIN | TRADING MARGIN | Δ WEEK | WEEK CLOSE | RUNNING YIELD** |
|---|---|---|---|---|---|---|---|---|
| AGL | AGLHA | Sub Note | 8-Jun-19 | 3.80% | 1.24% | 1.24% | 104.95 | 5.31% |
| AMP | AMPHA | Sub Note II | 18-Dec-18 | 2.65% | 0.75% | 0.75% | 102.77 | 4.28% |
| APT Pipelines | AQHHA | Sub Note | 31-Mar-18 | 4.50% | 1.68% | 1.68% | 101.85 | 6.15% |
| Australian Unity | AYUHB | Unsub. Bond | 15-Dec-20 | 2.80% | 1.62% | 1.62% | 103.80 | 4.37% |
| Crown | CWNHA | Sub Note | 14-Sep-18 | 5.00% | 3.00% | 3.00% | 102.85 | 6.61% |
| Crown | CWNHB | Sub Note | 23-Jul-21 | 4.00% | 4.42% | 4.42% | 99.99 | 5.78% |
| Bentham IMF | IMFHA | Bond | 30-Jun-19 | 4.20% | 2.06% | 2.06% | 104.00 | 5.73% |
| Nat Aust Bank | NABPE | Sub Note T2 | 20-Jun-23 | 2.20% | 1.44% | 1.44% | 104.48 | 3.77% |
| Qube Holdings | QUBHA | Sub Note | 5-Oct-23 | 3.90% | 3.63% | 3.63% | 107.00 | 5.28% |
| Suncorp-Metway | SUNPD | Sub NoteI T2 | 21-Nov-18 | 2.85% | 0.96% | 0.96% | 101.85 | 4.48% |
| Tatts | TTSHA | Snr. Bond | 5-Jul-19 | 3.10% | 0.82% | 0.82% | 104.20 | 4.65% |
| Villa World | VLWHA | Snr. Bond | 21-Apr-22 | 4.75% | 4.25% | 4.25% | 102.55 | 6.34% |
| Westpac | WBCHB | Sub Note T2 | 22-Aug-18 | 2.30% | 1.06% | 1.06% | 100.90 | 3.98% |