Thursday, October 17, 2019 |
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| MANAGING DIRECTOR: Scott Carrithers PORTFOLIO SALES AND SERVICE: Steve Panknin • George Morris • Jeff Goble • Chris Thompson • Sean Doherty Kevin Doyle • Lonnie Harris • Mark Tranckino • Robert Schuyler • Tom Toburen • Josh Kiefer Nicole Burczyk • Kelley Frye • Natalie Regan • Aaron Stoffer • Chuck Honeywell |
| US Treasury Market | |||||||||||
| Date | 1 mo | 3 mo | 6 mo | 1 yr | 2 yr | 3 yr | 5 yr | 7 yr | 10 yr | 20 yr | 30 yr |
| 10/09/19 | 1.69 | 1.69 | 1.69 | 1.59 | 1.47 | 1.43 | 1.40 | 1.50 | 1.59 | 1.88 | 2.08 |
| 10/10/19 | 1.74 | 1.68 | 1.68 | 1.63 | 1.53 | 1.49 | 1.48 | 1.57 | 1.67 | 1.96 | 2.16 |
| 10/11/19 | 1.76 | 1.68 | 1.68 | 1.67 | 1.63 | 1.60 | 1.59 | 1.68 | 1.76 | 2.04 | 2.22 |
| 10/15/19 | 1.74 | 1.67 | 1.67 | 1.65 | 1.61 | 1.60 | 1.59 | 1.68 | 1.77 | 2.06 | 2.23 |
| 10/16/19 | 1.71 | 1.66 | 1.64 | 1.59 | 1.58 | 1.57 | 1.57 | 1.65 | 1.75 | 2.05 | 2.23 |
Yield/Size/Liquidity/Defense….This checks all the boxes!
If you are looking for ways to capture yield while remaining defensive down the road and appreciate a high degree of liquidity, the following checks all the boxes.
The following opportunity is a Bank Eligible/Safe Harbor which as a reminder is a NBQ issue that we banks are allowed to treat as a BQ as long as our overall balance does not exceed 2% (total PAR value) of our average assets. This issue came to market late September however refunded an issue that originally came to market in 2009 and qualified as a Bank Eligible/Safe Harbor therefore carries forward the designation.
What does this mean to you? You can own a NBQ GO with an enormous tax base and a very strong debt profile at yields 20-40 BPS better than BQ’s to the call and a 4.00% kicker coupon you would own at PAR past the call date assuming you amortize premiums to the call.
Take a look at the details below and let us know if you have any interest or questions about the Bank Eligible/Safe Harbor designation.
The following opportunity is a Bank Eligible/Safe Harbor which as a reminder is a NBQ issue that we banks are allowed to treat as a BQ as long as our overall balance does not exceed 2% (total PAR value) of our average assets. This issue came to market late September however refunded an issue that originally came to market in 2009 and qualified as a Bank Eligible/Safe Harbor therefore carries forward the designation.
What does this mean to you? You can own a NBQ GO with an enormous tax base and a very strong debt profile at yields 20-40 BPS better than BQ’s to the call and a 4.00% kicker coupon you would own at PAR past the call date assuming you amortize premiums to the call.
Take a look at the details below and let us know if you have any interest or questions about the Bank Eligible/Safe Harbor designation.
This information is intended for institutional investors only. The material provided in this document/presentation is for informational purposes only and is intended solely for private use. Past performance is not indicative of future results. This material is not intended as an offer or solicitation for the purchase or sale of any financial instruments.
•Not FDIC Insured •No Bank Guarantee •May Lose Value