15 September 2025

Summary –

The ASX-listed hybrid market closed the week with a mixed tone, reflecting broader investor sentiment amid ongoing macroeconomic uncertainty. Yield levels across major bank-issued hybrids remained relatively stable, with slight upward pressure observed in select securities due to tightening credit spreads and modest risk repricing.

• Major Bank Hybrids: Tier 1 hybrids from the Big Four banks traded within a narrow band, with yields hovering around the 6.5%–7.2% range. ANZ’s recent issue, [insert ticker], saw increased volume, suggesting renewed institutional interest.
• Subordinated Notes: Lower-tier instruments showed marginal yield compression, particularly among longer-dated securities, as investors sought duration amid expectations of rate stability.
• Market Drivers: The RBA’s decision to hold rates steady in its September meeting provided a temporary anchor for yield expectations. However, lingering inflation concerns and global rate volatility continue to influence hybrid pricing.
• Investor Sentiment: Retail demand remains resilient, supported by attractive yield differentials compared to term deposits and senior debt. However, select profit-taking was evident in high-performing names, suggesting a cautious rotation.

• ASX-Listed Hybrids

  COMPANY	CODE	HYBRID TYPE	MATURITY/ CALL DATE	MARGIN INCL. CREDITS	TRADING MARGIN	DAY CHANGE	DAY CLOSE	RUNNING YIELD**
  Westpac	WBCPH	Capital Notes 5	22/09/2025	3.20%	1491.26%	911.79%	100.52	7.16%
  AMP Group	AMPPB	Capital Notes 2	16/12/2025	4.50%	18.10%	0.75%	101	8.34%
  Macquarie Bank	MBLPC	Capital Notes 2	22/12/2025	4.70%	17.96%	0.67%	100.53	8.56%
  Challenger	CGFPC	Capital Notes 3	25/05/2026	4.60%	8.79%	0.17%	102.5	8.40%
  Nat Aust Bank	NABPF	Capital Notes 3	17/06/2026	4.00%	7.39%	0.13%	101.88	7.76%
  Suncorp	SUNPH	Capital Notes 3	17/06/2026	3.00%	6.90%	0.13%	101.01	6.77%
  Macquarie Group	MQGPD	Capital Notes 4	10/09/2026	4.15%	5.62%	0.08%	102.55	7.83%
  CBA	CBAPJ	PERLS 13	20/10/2026	2.75%	5.27%	0.08%	101.1	6.49%
  Latitude	LFSPA	Capital Notes	27/10/2026	4.75%	12.13%	0.14%	98.98	8.95%
  Westpac	WBCPJ	Capital Notes 7	22/03/2027	3.40%	4.92%	0.06%	103.95	7.12%
  CBA	CBAPI	PERLS 12	20/04/2027	3.00%	4.12%	0.05%	102.2	6.68%
  Bank of Queensland	BOQPF	Capital Notes 2	14/05/2027	3.80%	5.11%	0.06%	103.41	7.52%
  Bendigo Bank	BENPH	Capital Notes	15/06/2027	3.80%	4.76%	0.05%	102.81	7.48%
  Macquarie Group	MQGPE	Capital Notes 5	20/09/2027	2.90%	3.60%	0.03%	102.07	6.56%
  Nat Aust Bank	NABPH	Capital Notes 5	17/12/2027	3.50%	4.03%	0.03%	103.1	7.14%
  ANZ Bank	AN3PI	Capital Notes 6	20/03/2028	3.00%	2.46%	0.02%	104.15	6.50%
  CBA	CBAPL	PERLS 15	15/06/2028	2.85%	3.28%	0.03%	102.81	6.49%
  Suncorp	SUNPI	Capital Notes 4	17/06/2028	2.90%	3.27%	0.03%	102.99	6.53%
  Westpac	WBCPL	Capital Notes 9	22/09/2028	3.40%	3.61%	0.03%	105.61	7.00%
  Macquarie Bank	MBLPD	Capital Notes 3	7/12/2028	2.90%	3.30%	0.02%	102.43	6.54%
  Bank of Queensland	BOQPG	Capital Notes 3	15/12/2028	3.40%	3.52%	0.02%	103.87	6.99%
  Judo Capital	JDOPA	Capital Notes	16/02/2029	6.50%	4.67%	0.03%	112.01	9.57%
  ANZ Bank	AN3PJ	Capital Notes 7	20/03/2029	2.70%	2.45%	0.01%	103.65	6.22%
  Challenger	CGFPD	Capital Notes 4	25/05/2029	3.60%	3.80%	0.02%	104.28	7.20%
  CBA	CBAPK	PERLS 14	15/06/2029	2.75%	2.99%	0.02%	103.1	6.36%
  IAG	IAGPE	Capital Notes 2	15/06/2029	3.50%	3.66%	0.02%	104.89	7.09%
  Macquarie Group	MQGPF	Capital Notes 6	12/09/2029	3.70%	3.11%	0.02%	105.8	7.13%
  Nat Aust Bank	NABPI	Capital Notes 6	17/09/2029	3.15%	3.00%	0.02%	104.55	6.68%
  Westpac	WBCPK	Capital Notes 8	21/09/2029	2.90%	3.11%	0.02%	105.19	6.51%
  ANZ Bank	AN3PK	Capital Notes 8	20/03/2030	2.75%	2.40%	0.01%	104.25	6.24%
  CBA	CBAPM	PERLS 16	17/06/2030	3.00%	2.58%	0.02%	105.58	6.46%
  Suncorp	SUNPJ	Capital Notes 5	17/06/2030	2.80%	2.84%	0.02%	103.72	6.37%
  Nat Aust Bank	NABPJ	Capital Notes 7	17/09/2030	2.80%	2.73%	0.02%	104.2	6.35%
  Bendigo Bank	BENPi	Capital Notes 2	13/12/2030	3.20%	3.16%	0.02%	104.4	6.75%
  Insurance Australia	IAGPF	Capital Notes 3	15/12/2030	3.20%	3.31%	0.01%	104.62	6.79%
  ANZ Bank	AN3PL	Capital Notes 9	20/03/2031	2.90%	2.28%	0.01%	105.71	6.30%
  Westpac	WBCPM	Capital Notes 10	22/09/2031	3.10%	2.97%	0.01%	106.65	6.62%
  Macquarie Group	MQGPG	Capital Notes 7	15/12/2031	2.65%	2.91%	0.01%	102.31	6.28%
  Nat Aust Bank	NABPK	Capital Notes 8	17/03/2032	2.60%	2.57%	0.01%	103.98	6.15%

• ASX-Listed Hybrids (Non-standard)

  COMPANY	CODE	BOND TYPE	CALL DATE	ISSUE MARGIN (inc frank)	TRADING MARGIN	DAY	CLOSING PRICE	RUNNING YIELD
  Nufarm	NFNG	Step Up	Perpetual	3.90%	5.21%	-0.01%	89.8	8.80%
  Ramsay Health Care	RHCPA	Preference Share	Perpetual	4.85%	4.53%	-0.01%	108.99	8.12%