Trading margins of ASX-listed notes and bonds displayed no particular trend with a mix of higher and lower margins by the end of the week. Excluding short-dated securities, the largest changes came from Villa World Bonds (ASX code: VLWHA, -81bps), Australian Unity Bonds (AYUHB, -51bps) and Qube Subordinated Notes (ASX code: QUBHA, +44bps).
Bentham IMF has received approval from bond-holders to extend the maturity date of its ASX-listed bonds (ASX code: IMFHA) from June 2019 to December 2022 with a first call date of January 2022 and a 1.0% step-up if not called on that date. The new maturity date is shown in the chart of notes’ trading margins below.
The current 3 month BBSW rate is around 2.06%. Add the trading margin from the above chart or from the tables to 2.06% 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% | 1.28% | 0.34% | 101.62 | 5.80% |
| Australian Unity | AYUHB | Unsub. Bond | 15-Dec-20 | 2.80% | 1.48% | -0.51% | 102.50 | 4.75% |
| Crown | CWNHB | Sub Note | 23-Jul-21 | 4.00% | 2.86% | -0.05% | 103.30 | 5.90% |
| Bentham IMF | IMFHA | Bond | 31-Jan-22 | 4.20% | 3.68% | n/a | 101.75 | 6.16% |
| Nat Aust Bank | NABPE | Sub Note T2 | 20-Jun-23 | 2.20% | 1.71% | 0.16% | 102.45 | 4.17% |
| Peet | PPCHB | Bond | 5-Oct-22 | 3.65% | 3.55% | 0.04% | 103.90 | 6.47% |
| Qube Holdings | QUBHA | Sub Note | 5-Oct-23 | 3.90% | 2.01% | 0.44% | 107.80 | 5.54% |
| Tatts | TTSHA | Snr. Bond | 5-Jul-19 | 3.10% | 1.00% | -0.70% | 101.15 | 5.11% |
| Villa World | VLWHA | Snr. Bond | 21-Apr-22 | 4.75% | 3.10% | -0.81% | 104.80 | 6.50% |