Summary: Trading margins generally decline; margin of NABPE largest mover over week.
Trading margins of ASX-listed notes and bonds generally declined this week. Ignoring short-dated securities, the margin of NAB Subordinated Notes (code: NABPE, -50bps) had the largest (absolute) change over the week.
The current 3-month BBSW rate is just one basis point above zero. Add the trading margin from the above chart or from the tables to this figure for an estimate of the 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** |
|---|---|---|---|---|---|---|---|---|
| Omni Bridgeway | OBLHA | Bond | 31-Jan-22 | 4.20% | 4.88% | -0.14% | 100.40 | 4.22% |
| Centuria Capital | C2FHA | Sec. Note | 20-Apr-26 | 4.25% | 3.13% | 0.05% | 102.41 | 4.59% |
| Peet | PPCHB | Bond | 5-Oct-22 | 3.65% | 0.94% | -0.50% | 102.98 | 2.16% |
| Nat. Aust. Bank | NABPE | Sub. Note Tier 2 | 20-Jun-23 | 2.20% | 2.31% | -0.05% | 103.85 | 3.79% |
| Qube Holdings | QUBHA | Sub. Note | 5-Oct-23 | 3.90% | 2.69% | -0.01% | 105.09 | 4.08% |
| Australian Unity | AYUHC | Bond Series C | 15-Dec-24 | 2.00% | 2.11% | -0.05% | 99.99 | 2.02% |
| Australian Unity | AYUHD | Bond Series D | 15-Dec-26 | 2.15% | 2.76% | 0.33% | 97.50 | 2.23% |
** Clean running yield.