Summary: Margins again lower on average; falls outweigh rises by 3:2; margins of SUNPG, LFSPA, BOQPE largest movers over week; 3-month BBSW up 3bps.
Click here for the latest daily trading margins, running yields and charts.
The median margin of ASX-listed hybrids to BBSW again finished the week lower as the number of securities with tighter spreads to BBSW outweighed securities with wider spreads by a ratio of about 3:2. At the end of the week, the median trading margin was 2.77%, down 8bps from the previous week’s closing value.
Margins of the majority of hybrids varied within a range of -41bps to +15bps. Ignoring short-dated securities, the margins of Suncorp Capital Notes 2 (SUNPG, 102bps), Latitude Capital notes (LFSPA, -82bps) and Bank of Queensland Capital Notes (BOQPE, -59bps) had the largest (absolute) changes over the week.
Challenger Capital Notes 2 (CGFPB) will be redeemed on 22 May.
3-month BBSW finished the week 3bps higher at 3.68%. 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 HYBRIDS
| COMPANY | CODE | HYBRID TYPE | MATURITY/ CALL DATE | MARGIN INCL. CREDITS | TRADING MARGIN | WEEK CHANGE | WEEK CLOSE | RUNNING YIELD** |
|---|---|---|---|---|---|---|---|---|
| Insurance Australia | IAGPD | Capital Notes | 15-Jun-23 | 4.70% | -1.01% | 2.81% | 101.17 | 8.29% |
| ANZ Banking Group | AN3PG | Capital Notes 4 | 20-Mar-24 | 4.70% | 1.63% | -0.29% | 103.60 | 8.13% |
| CBA | CBAPH | PERLS 11 | 26-Apr-24 | 3.70% | 0.71% | -0.93% | 103.79 | 7.15% |
| Bendigo Bank | BENPG | CPS 4 | 13-Jun-24 | 3.75% | 2.89% | -0.54% | 101.89 | 7.33% |
| Suncorp | SUNPG | Capital Notes 2 | 17-Jun-24 | 3.65% | 2.63% | 1.02% | 101.98 | 7.22% |
| Westpac | WBCPI | Capital Notes 6 | 30-Jul-24 | 3.70% | 2.06% | 0.08% | 102.80 | 7.21% |
| Bank of Queensland | BOQPE | Capital Notes | 15-Aug-24 | 3.75% | 2.61% | -0.59% | 101.20 | 7.30% |
| Macquarie Group | MQGPC | Capital Notes 3 | 16-Dec-24 | 4.00% | 2.31% | 0.06% | 103.44 | 7.46% |
| ANZ Banking Group | AN3PH | Capital Notes 5 | 20-Mar-25 | 3.80% | 2.08% | 0.06% | 103.89 | 7.23% |
| CBA | CBAPG | PERLS 10 | 15-Apr-25 | 3.40% | 2.08% | -0.13% | 103.30 | 6.88% |
| Westpac | WBCPH | Capital Notes 5 | 22-Sep-25 | 3.20% | 2.19% | -0.30% | 103.00 | 6.70% |
| AMP Group | AMPPB | Capital Notes 2 | 16-Dec-25 | 4.50% | 3.33% | -0.48% | 103.75 | 7.93% |
| Macquarie Bank | MBLPC | Capital Notes 2 | 22-Dec-25 | 4.70% | 2.63% | -0.09% | 105.70 | 7.96% |
| Challenger | CGFPC | Capital Notes 3 | 25-May-26 | 4.60% | 3.58% | -0.04% | 104.34 | 8.02% |
| Nat Aust Bank | NABPF | Capital Notes 3 | 17-Jun-26 | 4.00% | 2.35% | 0.20% | 105.47 | 7.32% |
| Suncorp | SUNPH | Capital Notes 3 | 17-Jun-26 | 3.00% | 2.98% | 0.14% | 101.02 | 6.64% |
| Macquarie Group | MQGPD | Capital Notes 4 | 10-Sep-26 | 4.15% | 2.94% | 0.02% | 104.50 | 7.53% |
| CBA | CBAPJ | PERLS 13 | 20-Oct-26 | 2.75% | 2.43% | 0.02% | 101.89 | 6.33% |
| Latitude | LFSPA | Capital Notes | 27-Oct-26 | 4.75% | 8.75% | -0.82% | 90.50 | 9.29% |
| Westpac | WBCPJ | Capital Notes 7 | 22-Mar-27 | 3.40% | 2.79% | 0.05% | 102.92 | 6.90% |
| CBA | CBAPI | PERLS 12 | 20-Apr-27 | 3.00% | 2.62% | -0.05% | 102.27 | 6.56% |
| Bank of Queensland | BOQPF | Capital Notes 2 | 14-May-27 | 3.80% | 3.36% | -0.34% | 101.46 | 7.33% |
| Bendigo Bank | BENPH | Capital Notes | 15-Jun-27 | 3.80% | 3.76% | 0.21% | 101.40 | 7.42% |
| Macquarie Group | MQGPE | Capital Notes 5 | 20-Sep-27 | 2.90% | 2.70% | -0.15% | 101.61 | 6.49% |
| Nat Aust Bank | NABPH | Capital Notes 5 | 17-Dec-27 | 3.50% | 2.82% | 0.00% | 103.60 | 6.96% |
| ANZ Banking Group | AN3PI | Capital Notes 6 | 20-Mar-28 | 3.00% | 2.77% | 0.17% | 101.90 | 6.58% |
| CBA | CBAPL | PERLS 15 | 15-Jun-28 | 2.85% | 2.91% | -0.03% | 101.10 | 6.50% |
| Suncorp | SUNPI | Capital Notes 4 | 17-Jun-28 | 2.90% | 3.10% | -0.06% | 100.32 | 6.58% |
| Westpac | WBCPL | Capital Notes 9 | 22-Sep-28 | 3.40% | 2.83% | 0.04% | 103.38 | 6.87% |
| Macquarie Bank | MBLPD | Capital Notes 3 | 7-Dec-28 | 2.90% | 2.69% | -0.43% | 102.00 | 6.48% |
| Bank of Queensland | BOQPG | Capital Notes 3 | 15-Dec-28 | 3.40% | 3.54% | -0.02% | 100.94 | 7.06% |
| ANZ Banking Group | AN3PJ | Capital Notes 7 | 20-Mar-29 | 2.70% | 2.76% | -0.12% | 100.80 | 6.35% |
| Challenger | CGFPD | Capital Notes 4 | 25-May-29 | 3.60% | 3.52% | -0.10% | 100.88 | 7.20% |
| CBA | CBAPK | PERLS 14 | 15-Jun-29 | 2.75% | 2.74% | -0.11% | 101.20 | 6.38% |
| Insurance Australia | IAGPE | Capital Notes 2 | 15-Jun-29 | 3.50% | 3.51% | -0.20% | 101.15 | 7.12% |
| Macquarie Group | MQGPF | Capital Notes 6 | 12-Sep-29 | 3.70% | 3.22% | 0.14% | 103.40 | 7.17% |
| Nat Aust Bank | NABPI | Capital Notes 6 | 17-Sep-29 | 3.15% | 2.75% | -0.05% | 102.98 | 6.66% |
| Westpac | WBCPK | Capital Notes 8 | 21-Sep-29 | 2.90% | 2.78% | -0.14% | 101.64 | 6.49% |
| ANZ Banking Group | AN3PK | Capital Notes 8 | 20-Mar-30 | 2.75% | 2.85% | 0.00% | 100.00 | 6.41% |
ASX-LISTED HYBRIDS (NON-STANDARD)
| COMPANY | CODE | HYBRID TYPE | MATURITY/ CALL DATE | MARGIN INCL. CREDITS | TRADING MARGIN | WEEK CHANGE | WEEK CLOSE | RUNNING YIELD** |
|---|---|---|---|---|---|---|---|---|
| Nufarm | NFNG | Step Up | Perpetual | 3.90% | 4.71% | -0.09% | 92.25 | 8.37% |
| Ramsay Health Care | RHCPA | Perpetual PS | Perpetual | 4.85% | 4.70% | 0.01% | 103.68 | 8.36% |
** “Clean” running yield. Includes franking credits if present.