KeyCorp preferreds decline; Duke Energy heads lower; Priority Income preferreds offered

By James McCandless

San Antonio, May 13 – As the preferred market saw a broad decline tied to trade war fears to start the week, volume leaders were mixed.

Leading the market, KeyCorp’s 5.625% series G fixed-rate perpetual non-cumulative preferred stock declined.

Elsewhere in finance, Morgan Stanley’s floating-rate non-cumulative preferred stock was relatively active but flat.

Sector peer Goldman Sachs Group, Inc.’s floating-rate non-cumulative preferred stock saw a slight improvement.

Meanwhile, in utilities, Duke Energy Corp.’s 5.75% series A cumulative redeemable perpetual preferreds finished negative.

AGNC Investment Corp.’s 6.875% series D fixed-to-floating rate cumulative redeemable preferred shares were higher.

In primary activity, Priority Income Fund, Inc. said it plans to price series D cumulative preferred stock due 2029 at $25.25 with a dividend of 7%.

KeyCorp off

Leading volume in the secondary market, KeyCorp’s 5.625% series G fixed-rate perpetual non-cumulative preferred stock declined by the Monday close.

The preferreds (NYSE: KEYPrK) were down 9 cents to close at $25.05 on volume of about 444,000 shares.

Elsewhere in the finance space, Morgan Stanley’s floating-rate non-cumulative preferred stock was active but finished flat.

The preferreds (NYSE: MSPrA) closed level at $20.34 with about 298,000 shares trading.

Sector peer Goldman Sachs’ floating-rate non-cumulative preferred stock went against the day’s trend, ending the session with a slight improvement.

The preferreds (NYSE: GSPrA) gained 2 cents to close at $19.64 on volume of about 267,000 shares.

Duke Energy negative

Meanwhile, in the utilities sector, Duke Energy’s 5.75% series A cumulative redeemable perpetual preferreds followed the negative trend.

The preferreds (NYSE: DUKPrA) dropped 5 cents to close at $26.19 with about 162,000 shares trading.

AGNC up

Real estate investment trust AGNC’s 6.875% series D fixed-to-floating rate cumulative redeemable preferred shares were pushed higher on Monday.

The preferreds (Nasdaq: AGNCM) rose 10 cents to close at $25.16 on volume of about 159,000 shares.

Priority Income’s offering

In the primary space, Priority Income Fund plans to price an offering of series D cumulative preferred stock due 2029 at $25.25 with a dividend of 7%.

Incapital LLC is the purchasing agent and distributor. Ladenburg Thalmann & Co. Inc. is also an agent of the program.

The offering is part of the company’s continuous preferred stock issuance program that was announced on April 29.

Indexes down

The Wells Fargo Hybrid & Preferred Securities Financial index closed out the day down by 0.22%, hovering around the 0.24% loss from early Monday activity.

The iShares US Preferred Stock ETF was down 17 cents to $36.27.

© 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.