JMP Group taps $25-par market; Bank of America preferreds better; Athene improves

By James McCandless

San Antonio, Sept. 19 – In the Thursday session, the preferred market remained on the positive path started earlier in the week.

In primary activity, JMP Group LLC priced an upsized $36 million offering of $25-par senior notes due Sept. 30, 2029 with a coupon of 6.875%.

And in the secondary, Bank of America Corp.’s 5% series LL non-cumulative preferred stock led trading volume and ended the session better.

Elsewhere in finance, Capital One Financial Corp.’s 5% series I fixed-rate non-cumulative perpetual preferred stock also rose.

Sector peer JPMorgan Chase & Co.’s 6.1% series AA and 6.125% series Y non-cumulative preferred stock saw a mixed day.

Retirement services provider Athene Holding Ltd.’s new 5.625% series B fixed-rate perpetual non-cumulative preference shares ended positive.

Meanwhile, REIT Public Storage’s 4.875% series I cumulative preferred shares spent the day gaining.

JMP sells $25-pars

The primary market saw JMP Group price an upsized $36 million offering of $25-par senior notes due Sept. 30, 2029 with a coupon of 6.875%.

There is a $3.75 million greenshoe.

The deal, announced Thursday morning, was upsized from an initial $25 million.

UBS Securities LLC and Morgan Stanley & Co. LLC are the joint bookrunners.

The notes are redeemable on or after Sept. 30, 2021 at par.

Bank of America better

Leading secondary trading, Bank of America’s 5% series LL non-cumulative preferred stock ended the Thursday session better.

The preferreds (NYSE: BACPrN) were up 9 cents to close at $25.08 on volume of about 1.3 million shares.

On Wednesday, the preferreds tacked on 7 cents.

Elsewhere in the finance space, Capital One’s 5% series I fixed-rate non-cumulative perpetual preferred stock also rose.

The preferreds (NYSE: COFPrI) improved by 11 cents to close at $24.79 with about 712,000 shares trading.

On Wednesday, the preferreds gained 3 cents.

Sector peer JPMorgan’s 6.1% series AA and 6.125% series Y non-cumulative preferred stock moved in separate directions.

The series AA preferreds (NYSE: JPMPrG) added 1 cent to close at $25.79 on volume of about 674,000 shares.

The series Y preferreds (NYSE: JPMPrF) declined by 3 cents to close at $25.44 on volume of about 482,000 shares.

Athene notes gain

Retirement services provider Athene’s new 5.625% series B fixed-rate perpetual non-cumulative preference shares ended Thursday positive.

The preferreds, trading under the temporary symbol “ATHHF,” tacked on 10 cents to close at $25.38 with about 736,000 shares trading.

On Wednesday, the preferreds improved by 20 cents.

Public Storage rises

Meanwhile, real estate investment trust Public Storage’s 4.875% series I cumulative preferred shares spent the day gaining.

The preferreds (NYSE: PSAPrI) rose 8 cents to close at $25.26 on volume of about 294,000 shares.

Indexes up

The Wells Fargo Hybrid & Preferred Securities Financial index finished higher by 0.15%, hovering around the 0.14% gain from early Thursday trading.

The iShares US Preferred Stock ETF was up 5 cents to $37.32.

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