Summary: Trading margins display no clear trend; margin of AYUHC largest mover over week; PPCHB redeemed; BBSW down 16bps.
Trading margins of ASX-listed notes and bonds displayed no clear trend this week. Ignoring short-dated securities, the margin of Australian Unity Series C Notes (AYUHC, -95bps) experienced the largest (absolute) change over the week after its price held up after its ex-interest date.
Peet Bonds (PPCHB) were redeemed on 5 October.
3-month BBSW finished the week 16bps lower at 2.88%. 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.
| COMPANY | CODE | BOND TYPE | MATURITY | ISSUE MARGIN | TRADING MARGIN | Δ WEEK | WEEK CLOSE | RUNNING YIELD** |
|---|---|---|---|---|---|---|---|---|
| Nat. Aust. Bank | NABPE | Sub. Note Tier 2 | 20-Jun-23 | 2.20% | 0.95% | 0.16% | 101.40 | 4.95% |
| Qube Holdings | QUBHA | Sub. Note | 5-Oct-23 | 3.90% | 1.68% | 0.81% | 102.25 | 6.56% |
| Centuria Capital | C2FHA | Note | 20-Oct-24 | 4.25% | 5.05% | -0.20% | 100.21 | 7.14% |
| Australian Unity | AYUHC | Bond Series C | 15-Dec-24 | 2.00% | 1.52% | -0.95% | 101.00 | 4.76% |
| Australian Unity | AYUHD | Bond Series D | 15-Dec-26 | 2.15% | 3.04% | 0.12% | 97.11 | 5.10% |
** Clean running yield.