Earnings
November 15, 2018 - PKI
New! Parkland Fuel Corp - Q3-2018 Earnings & Price Target Update .....
November 13, 2018 - SPB
Superior Plus Corp - Q3-2018 Earnings & Price Target Update .....
November 11, 2018 - GEI
Gibson Energy Inc. Q3-2018 Earnings & Price Target Update .....
November 9, 2018 - KEY
Keyera Corp. Q3-2018 Earnings & Price Target Update .....
November 9, 2018 - DR
Medical Facilities Corp. Q3-2018 and Price Target Update .....
November 8, 2018 - FTS
Fortis Inc. Q3-2018 Earnings - Price Target Update .....
November 7, 2018 - BEP.UN
Brookfield Renewable Energy Partners LP - Q3-2018 Earnings Update .....
November 4, 2018 - ENB
Enbridge Inc. Q3-2018 Earnings & Price Target Update .....
Recommendation Changes
ENB, HSE, ALA, TRP, BCE, more...

Coverage Universe - Weekly Price Change Jan 19-29, 2018

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Markets have been fretting about rising interest rates since the first bailout following the recovery from the Global Financial Crisis. The time period immediately after the Global Financial Crisis was when the first issue of rate reset preferred shares started. From then till now almost all new issues of preferred shares have been structured with a rate reset feature.

The outlook for rising interest rates escalated in 2013 when then US central bank chief Ben Bernanke attempted and failed to reduce monetary accommodation, causing the Taper Tantrum. This was followed by newly appointed Fed vice chair Stanley Fischer introducing a policy of 4 interest rates hikes in 12 months and very likely more. Fast forward to 2018, US central bank interest rates have been increased 5 times in one quarter point increments, apparently with 4 more to follow. It has been a rough ride for income focused investments; the regular income definitely helps to ease the stress.

Even investment scion Warren Buffet loves to beat up on bonds, yet the $702B of assets in Berskshire Hathaway(BRK.A, B) are partly financed with $102B debt . Strip out the policy liabilities associated with the insurance segment and the debt equity ratio is about 30%. There is enough cash in Berkshire to pay off the debt, yet it is awaiting an attractive acquisition opportunity. The acquisition will likely include some cheap debt on the acquired companies' books. Success for equity valuations depends on a foundation of inexpensive debt capital allowing the common shareholders to benefit from the leverage this gives to earnings. Take away the cheap debt with rising interest rates and it is not only bond valuations that suffer.

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New Issues & Acquisition
November 10, 2018
New! Coverage Universe - Weekly Price Changes Nov 2-11, 2018
November 2, 2018
Coverage Universe - Weekly Price Changes Oct 26-Nov 2, 2018
October 26, 2018
Coverage Universe - Weekly Price Changes Oct 19-26, 2018
October 25, 2018
Royal Bank 4.8% Preferred Share New Issue
October 19, 2018
Coverage Universe - Weekly Price Changes Oct 12-19, 2018
October 12, 2018
Coverage Universe - Weekly Price Changes Oct 5-12, 2018
October 6, 2018
Coverage Universe - Weekly Price Changes Sept 28 - Oct 5, 2018
October 2, 2018
Bank of Nova Scotia - 4.85% 5 yr Rate Reset Preferred Shares New Issue