| Wednesday, January 10, 2024 |
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MANAGING DIRECTOR: |
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US Treasury Market |
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| Date | 1 mo | 3 mo | 6 mo | 1 yr | 2 yr | 3 yr | 5 yr | 7 yr | 10 yr | 20 yr | 30 yr |
| 01/03/24 | 5.37 | 5.39 | 5.27 | 4.80 | 4.33 | 4.08 | 3.90 | 3.92 | 3.91 | 4.22 | 4.07 |
| 01/04/24 | 5.36 | 5.39 | 5.27 | 4.83 | 4.38 | 4.15 | 3.98 | 4.00 | 4.00 | 4.30 | 4.15 |
| 01/05/24 | 5.37 | 5.37 | 5.25 | 4.83 | 4.38 | 4.16 | 4.00 | 4.03 | 4.04 | 4.35 | 4.20 |
| 01/08/24 | 5.38 | 5.38 | 5.25 | 4.82 | 4.37 | 4.14 | 3.98 | 4.01 | 4.03 | 4.33 | 4.19 |
| 01/09/24 | 5.37 | 5.38 | 5.23 | 4.82 | 4.36 | 4.13 | 3.96 | 3.99 | 4.01 | 4.31 | 4.17 |
The data in the table above is static as of the time it was pulled, so rates may have changed. Treat all data in this table and PMR as indications only and availability is always subject to change. This information was pulled manually from sources we believe to be reliable. New source, as of 12/12/2022, Bloomberg, L.L.P. As of: close of business 01/09/2024.
An Attractive Bank Qualified School Bond Offering
This 11 year bond with a 1 year call has a 4.97% taxable equivalent yield for an S-Corp bank, prior to any TEFRA disallowance. In addition, the 3.50% offering yield captures approximately 86% of the comparable maturity treasury – exceptional value when you consider that 10 year AAA municipals were yielding just 57.8% of the treasury curve late last week.
Sheboygan Area School District, Wisconsin
Unlimited Tax General Obligation
Bank Qualified Refunding Bonds
Moody Rated Aa2
Dated: 3/07/2017
Regular Settlement
Unlimited Tax General Obligation
Bank Qualified Refunding Bonds
Moody Rated Aa2
Dated: 3/07/2017
Regular Settlement
520,000 3.50% due 3/01/2035 @ 100
Callable 3/01/2025
In another measure of value, compare the Sheboygan yields (to call and maturity) to the latest Bloomberg graph below of the generic AA rated bank qualified market. As the graph indicates, our Wisconsin bonds out-yield the average AA BQ by nearly 35 basis points to maturity as well as providing a 37 basis point advantage to the call.
Source: Bloomberg 1/09/2024
Lastly, in an “apples to apples” comparison, Aa3 Fontana-on-Geneva Lake WI came to market on Monday of this week with Unlimited Tax GO’s in 2035 yielding 2.85% to the ’33 call and kicking to 3.16% to maturity – 34 basis points lower than our Sheboygan bond offering.
Give us a call if this New Year’s gift could be a fit for your portfolio. As always, we offer these securities subject to change in price and availability without notice.
Callable 3/01/2025
In another measure of value, compare the Sheboygan yields (to call and maturity) to the latest Bloomberg graph below of the generic AA rated bank qualified market. As the graph indicates, our Wisconsin bonds out-yield the average AA BQ by nearly 35 basis points to maturity as well as providing a 37 basis point advantage to the call.
Source: Bloomberg 1/09/2024
Lastly, in an “apples to apples” comparison, Aa3 Fontana-on-Geneva Lake WI came to market on Monday of this week with Unlimited Tax GO’s in 2035 yielding 2.85% to the ’33 call and kicking to 3.16% to maturity – 34 basis points lower than our Sheboygan bond offering.
Give us a call if this New Year’s gift could be a fit for your portfolio. As always, we offer these securities subject to change in price and availability without notice.
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