Morning Commentary: Brookfield on deck; Public Storage pushed up; Citigroup improves

By James McCandless

San Antonio, Oct. 8 – Heading into the second half of the week, the preferred space started Thursday with the Wells Fargo Hybrid & Preferred Securities Financial index up by 0.22%.

Coming down the primary pipeline, Brookfield Finance Inc. plans to price an offering of $25-par subordinated notes due 2080.

The notes will be guaranteed by Brookfield Asset Management Inc.

J.P. Morgan Securities LLC, BofA Securities, Inc., RBC Capital Markets, LLC and Wells Fargo Securities, LLC are the bookrunners.

The notes are redeemable after five years at par. Prior to that, the notes are redeemable after a tax event at par or 120 days after a rating event at par.

Leading early secondary trading volume, real estate developer Brookfield Property Partners LP’s 5.75% series 3 class A cumulative redeemable perpetual preferred units were rising.

The preferreds (Nasdaq: BPYPN) were up 35 cents to $18.90 on volume of about 63,000 shares.

Real estate investment trust Public Storage’s recent 3.875% series N cumulative preferred shares were being pushed upward.

The preferreds, trading under the temporary symbol “PSADL,” were improving by 1 cent to $24.91 with about 57,000 shares trading.

Meanwhile, in the banking and finance space, Citigroup Capital XIII’s 7.875% fixed-to-floating rate trust preferred securities were trending on the positive side.

The preferreds (NYSE: CPrN) were tacking on 1 cent to $27.82 on volume of about 46,000 shares.

Sector peer Capital One Financial Corp.’s 5% series I fixed-rate non-cumulative perpetual preferreds kicked off the day following the market trend.

The preferreds (NYSE: COFPrI) were pushing up 6 cents to $25.51 with about 29,000 shares trading.

Elsewhere, oil and gas name Energy Transfer Operating LP’s 7.625% series D fixed-to-floating rate cumulative redeemable perpetual preferred units were shooting higher.

The preferreds (NYSE: ETPPrD) were jumping up 38 cents to $18.80 on volume of about 38,000 shares.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.