- We take a look at the action in preferreds and baby bonds through the third week of August and highlight some of the key themes we are watching.
- August is shaping up to be the weakest month for preferreds since last March.
- Yield compression remains a key theme highlighting the low opportunity cost for being up in quality.
- We discuss a number of new issues from Bridgewater and ConnectOne banks, Textainer and PennyMac Mortgage.
- Our stance continues to favor "portfolio" securities as well as pinned-to-par and "through-the-cycle" stocks such as OXSQL, ECCY, LBRDP and BPYPM.
For further details see:
Preferreds Market Weekly Review: Yield Compression Continues