EIC - Preferreds Market Weekly Review

• We take a look at the action in preferreds and baby bonds through the last full week of August and highlight some of the key themes we are watching.
• August has delivered another ho-hum month driven by the struggle of Treasury yields and credit spreads to push even lower from their overstretched levels.
• Low treasury yields, tight credit spreads and a soon-to-come tapering makes us seek out relatively resilient securities in the preferreds space.
• We quantify the risk/reward of a number of pinned-to-par preferreds.
• We also continue to like a number of newly issued series which trade cheap in the issuer stack.

For further details see: