SVB Financial preferreds top par; AXA shoots higher; Chimera lower

By James McCandless

San Antonio, Dec. 3 – The preferred space saw mixed results on Tuesday, reflected in the movements of the day’s most active traders.

Leading the secondary, SVB Financial Group’s new $350 million 5.25% series A fixed-rate non-cumulative perpetual preferred stock closed above par.

Elsewhere in finance, AXA Equitable Holdings, Inc.’s 5.25% series A fixed-rate non-cumulative perpetual preferred stock shot up.

Sector peer Capital One Financial Corp.’s 5% series I fixed-rate non-cumulative perpetual preferreds declined.

REIT Chimera Investment Corp.’s 8% series B fixed-to-floating rate cumulative redeemable preferred stock also saw negativity.

Asset manager Northern Trust Corp.’s 4.7% series E non-cumulative perpetual preferred stock was under pressure.

SVB tops par

Leading trading in the secondary market, SVB’s new $350 million 5.25% series A fixed-rate non-cumulative perpetual preferred stock closed above par on its first day.

The preferreds, trading under the temporary symbol “SIVBL,” were seen closing at $25.45 on volume of about 2.3 million shares.

The deal priced on Monday.

Elsewhere in the finance space, AXA’s 5.25% series A fixed-rate non-cumulative perpetual preferred stock shot higher.

The preferreds (NYSE: EQHPrA) improved by 19 cents to close at $24.96 with about 691,000 shares.

On Monday, the preferreds shed 19 cents.

Sector peer Capital One’s 5% series I fixed-rate non-cumulative perpetual preferreds declined by the end of the afternoon.

The preferreds (NYSE: COFPrI) shifted down by 5 cents to close at $24.73 on volume of about 629,000 shares.

On Monday, the preferreds dipped 7 cents.

Chimera down

Real estate investment trust Chimera’s 8% series B fixed-to-floating rate cumulative redeemable preferred stock also saw negativity.

The preferreds (NYSE: CIMPrB) fell by 3 cents to close at $26.30 with about 380,000 shares trading.

Northern Trust lower

Meanwhile, asset manager Northern Trust’s 4.7% series E non-cumulative perpetual preferred stock was under pressure during the session.

The preferreds (Nasdaq: NTRSO) shaved off 5 cents to close at $25.39 on volume of about 371,000 shares.

Indexes mixed

The Wells Fargo Hybrid & Preferred Securities Financial index moved up 0.09% by the close, reversing a 0.15% loss from early Tuesday trading.

The iShares US Preferred Stock ETF was down 3 cents to $36.77.

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