This is a page where bonds can be discussed. I am thinking primarily $1,000 issues which are of interest to folks.
Like the other discussion pages posts will stay intact for a number of months.
Skip to content
5/18/2025
Our site runs on donations to keep it running for free. Please consider donating if you enjoy your experience here!
Click Here to Donate
New CORP Issues selling @ PAR
JPMorgan Chase & Co. 6.25%
05/30/2045 (2 year call protection)
A/A1
48130CL60
The Dow Chemical Co 6.55%
05/15/2055 (6 month call protection)
BBB/Baa1
26054MHU8
Blue Owl Capital Cor 6.20%
07/15/2030 (5 year call protection)
BBB-/NR
69121KAJ3
Deutsche Bank Aktien 6.15%
05/30/2045 (1 year call protection)
A/A-
25161FAU2
TREASURY STRIPs now yielding over 5.20%
US Treasury STRIP 0%
05/15/2044
912834NP9
MBS
Federal Ntnl Mortgag 6.00%
03/01/2037
Current yield = 5.90% vs. YTM = 5.50%
31410FZ99
Here’s another one. Chase pays annually:
JPMorgan Chase & Co. 6.15%
05/27/2050 (4 year call protection)
A/A1
48130CM77
Rock,
Aren’t all of these things considered retail note offerings , and as such, issue and trade at lower yields than other debt of the issuers?
I could be mistaken.
lt-
Definitely retail notes. Is there some other kind of senior debt?
The new BB on your list sorted by current date shows AOMN which already exists. The new one to be issued any day now is AOMD.
Rollover the 6% agency to 6.05%. Funny that they called the 6.00% coupon and then a week later issued a new one with 6.05% coupon. Anyway 0.05% probably doesn’t mean much to them, lol.
Cusip3130B6CH7
Settlement date 05/12/2025
Symbol description
FEDERAL HOME LOAN BANKS BOND 6.05000% 05/12/2055
One of my several agency bonds got called. Last month they didn’t call the higher yielding one 6.125% bond but this time the 6.00% got called. Just FYI.
Security FHLMC 6%44
**CALLED**
@100 EFF: 05/07/2025
CUSIP 3134HAXD0
Call date May 07, 2025
I will lose a 6.3% agency in 13 days to a call, last of my 6+%ers.
Retired,
Do you lose a day or two of interest on these when they are paid off and reinvested? I’m asking because of the way I think Schwab handles cash.
One days’ interest has a decent sized effect on yield on positions held for 3 or 6 months
lt,
For the CUSIP 3134HAXD0 (see above), the full amount plus 6 month interest was paid early this morning on the call date (today). I purchased this agency bond on 11/7/2024 (deducted from my cash account) and was called on 5/7/2025 (credited to my cash account), so 6 calendar months which is 181 full days. If the bond is using 30/360 method to calculate interest, then I appear to lose one day of interest. Not sure if I’ve answered your question directly. There is no option to roll over agency bonds to newly issued bond afaik
I agree with your analysis Lt. The spread above treasuries has gotten mighty meager for buying financial bonds. The only financial company bonds I have are call dated issues from JPM…Goldman Sachs…Royal Bank of Canada…Toronto Dominion Bank…FHLB. A coupon of 5.5%-6% with a 1-2 year call date works providing enhanced income and liquidity. I have been able to replace these issues as they get called with similar coupons/call dates…always a chance they won’t get get called…a risk I am willing to take. I worked for years in capital asset management creating structured products for clients desiring a defined income stream. In my senior years… capital preservation and income have become paramount. I have no interest in stocks…preferred stock(perpetual/term) or baby bonds. 80% of my funds are in BBB+ thru AAA corporate bonds with treasuries and CD’s mixed in.
I preface some of the issues I’ve mentioned here with a “for those willing” disclaimer. I am not interested in these but think they may be of interest to others.
Best to all…stay safe…it be turbulent times we live in.
LT – I’m seeing this issue, https://prospectus.bondtraderpro.com/$NMBDSI.PDF, NEW MEXICO MORTGAGE FINANCE AUTHORITY
SINGLE FAMILY MORTGAGE PROGRAM CLASS I BONDS
2025 SERIES C (TAX-EXEMPT) (NON-AMT)’s 2055 term issue tentatively being price as 5.10% @ 99.91 (AAA by Moodys). Fido is showing the “Estimated Taxable Equivalent Yield” is supposed to be 8.095%. How can that be right?
2wr,
That should be priced at par, but the TEY seems based on the 37% bracket. It’s not accounting for NIIT
CoBank, 6.45% until 10/01/27 call date, then 5 year T plus 3.487%, no maturity date, resets every 5 years, qualified distribution, currently priced at $100, cusip # 19075QAE2, BBB+ I own a bunch of it.
Whidbey, pretty sure that is a min $250k issue. Have you been able to buy it in lower quantities?
And why buy that over the 7.25%? The 6.45% is likely to be called. The 7.25% is offered around 101 but you will get that 7.25% for 4 years before the call/reset date.
Maine—I bought the 6.45% in three separate $50K amounts about a year ago. I’m not sure it will be called. Maybe that’s wishful thinking.
I was not able to buy the 7.25% issue because, you’re right, it always was a $250K minimum. I probably should have bit the bullet and bought $250K, but I just didn’t feel comfortable doing so. Maybe I should rethink it.
Ha, only do what you are comfortable with.
Specifying a min purchase amounts is annoying. I don’t understand the logic, but am guessing it is for legal reasons, less investors to sue!
TNX (10-year treasury yield) chart has been going sideways since Oct 2023. It looks like it’s oscillating around the Oct 2022 high at 4.3%. Sideways moves, especially long ones, are followed by directional moves. Care to guess which way?
https://www.tradingview.com/x/vIk9gKIP/
Bank of America CUSIP # 06055HAH6 RESET 6.625% perpetual. First coupon 8/1/25, pays quarterly – settle 4/29 Reset 5/1/30 vs 5 yr UST + 2.684
https://www.sec.gov/Archives/edgar/data/70858/000119312525093548/d946374dfwp.htm
Interesting. Their fixed rate issues are hovering around 6%. This is unexpectedly higher especially for a $1000 issue. But then the reset rate is lower than some of their floaters. Maybe they are expecting future rates to be low again.
Martin, It’s just the cost of doing business in this market. “new issue discounts” tend to be wider when issuing during bouts of market volatility and can be a wonderful gifts.. I bet it was one of the favorite parts of 2whiteroses job.
With that said, I’ll probably pass on this issue.. not because I don’t like it.. It’s just that I am full from buying other bank prefs, including the C Series FF from prices down to $97 and is offered at $99 now. 6.95% Fixed to 2.73% reset off the 5 yr. Granted, I slightly prefer Bofa over C from a credit perspective.
https://www.citigroup.com/global/investors/fixed-income-investor-relations/capital-securities
I am also finding GO Muni’s at 4.7%+, including this Mass GO issued last week. It’s about a 6.8% corp equivalent at my tax bracket, not bad for AA and 10 yrs call protection.
https://www.munios.com/munios-notice.aspx?e=F6ADI
maine, what is the cusip on the Mass GO? thank you.
Here is one: 57582TCS9 Mass GO
It was a new issue last week. I got it at the new issue price of 101.872 or 4.76%. It hit my account on April 24 and it settles May 7th. It looks like Amherst college is in the market for a muni this week, and should have a better yield, assuming they issue 30 year maturities.
Are you talking about it being lower than floaters based off of 3 month SOFR not the 5 Year Treas? When you think about it, this one’s pretty much following convention in determining the reset rate – The original price minus the 5 Year Treas rate at time of pricing = the reset rate..
BTW, for the record, I’m not buying this directly – it was an add on to the Morgan Stanley directly managed account I have.
Here’s a Goldman Sachs new issue bond that works for me.
GS senior unsecured…cusip#38151FJ53…due 04/30/2037….coupon of 6%… 1st call 04/30/2027…pays annually…
For those willing…
Morgan Stanley new bond cusip# 61760QTJ3…due 04/28/2045…coupon 5.45%…to term…NO CALL…pays semi annual
Morgan Stanley new bond cusip# 61766YZN4…due 04/30/2035…coupon
5.20%…to term…1st call 04/30/2030…pays semi annual
Morgan Stanley new bond cusip# 61760QTF1…due04/30/2035…coupon
5.050…to term…NO CALL…pays semi-annual
Yahhey, just out of curiosity, I’m wondering how much of a spread above treasury rates is sufficient, in your view, to justify the purchase of a financial company bond. Personally, having traded through the GFC, for me it’s far more than these bonds offer. I do think the fact you’re getting extra yield by selling a call to the issuer may almost completely account for the excess yield .
Just one man’s opinion.
I agree with your analysis…the spread above treasuries has gotten mighty meager. The only financial company bonds I have are call dated issues from JPM…Goldman Sachs…Royal Bank of Canada…Toronto Dominion Bank…FHLB. A coupon of 5.5%-6% with a 1-2 year call date works providing enhanced income and liquidity. I have been able to replace these issues as they get called with similar coupons/call dates…always a chance they won’t get get called…a risk I am willing to take. I worked for years in capital asset management creating structured products for clients desiring a defined income stream. In my senior years… capital preservation and income have become paramount. I have no interest in stocks…preferred stock(perpetual/term) or baby bonds. 80% of my funds are in BBB+ thru AAA corporate bonds with treasuries and CD’s mixed in.
I preface some of the issues I’ve mentioned here with a “for those willing” disclaimer. I am not interested in these but think they may be of interest to others. All the best to you and yours Lt…stay safe…it be turbulent times we live in.
Hi yahhey, what do you think of the safety of munis 2030-2036 , moodys AA3-AAA ? ie G.O. bonds,
Gary I used GO bonds in my working days in structured portfolios and still hold some in personal accounts. I have no interest in long dated new issues and would be leery of of buying munis until the current economic environment/muni tax code status settles out.
The warts on GO bonds other than default…tax consequences for purchases at discount(de minimis tax)…determining cost basis can get complicated…capital gains income if trading…origination for state tax free status with all resulting in adjustments to income which can affect AMT/SSI/Medicare reporting.
FHLB 6% 05/05/2050 3130B5YR3. Available at Fidelity new issue.
Continuously callable after 05/05/2026
Can park your spare cash at 6% for a year or perhaps longer if overall interest rate remains elevated. DYODD
I own several of agency bonds, most of them around 6% and waiting for the next call cycle (every quarter).
Retired, I just received payment on the FHLB 3130B3CR2 6% it has been a very stable place to park some money.
Retired-
That’s a significant departure from the recent norm. When I looked over the agencies at Schwab yesterday, the best yield with one year to call was 5.5%.
Rocks I felt like I bought a little early after I saw people were snagging 6.25% now 6% isn’t looking too bad.
NRUC, 5.25% until 4/20/26, then 3 month SOFR + .26 + 3.63%, 4/20/46 maturity date, currently priced around $98.6, cusip # 637432NK7
A3/BBB, current yield around 5.32%, YTC around 6.7% I own a bunch of it.
Not in Fidelity’s inventory, ugh
New Jeffries senior note at Schwab. Call 4/30/26.
47233WJQ3 7% 2045 BBB semi-annual
Big jump up from recent Jeffries notes at 6.5%. Could be a harbinger for higher coupon retail notes.
JEF is down a lot (as are other financial stocks) and might be headed to 25.
Rocks/lt, yeh JEF not the kind of company I’m going to the 20yr mark with right now, Nice yield but any duration added, for awhile, will be either Utility or Treasury.
And as I say that, why do I find myself looking at CTA-B and wanting another chunk of that one below $69 when I won’t look at JEF bonds? See how my twisted mind works? lol
I have been adding (in small bites) CTA-B as well under 69.
Some of my long-dated (maturity and call), IG senior CUSIPs are trading below par with CYs in the high 6s and above. Reviewing.
I see bonds of financial companies NMFC, OCSL and CGBD that fit the description above. Then again, there are BBs that also fit the exact same description. You don’t need a CUSIP to get the same CY.
For long-dated yield, why not buy PFFA? In an abnormal market, maybe it’s appropriate to make an abnormal choice.
Just double’d up by 10Yr TIPS position, 2.43 YTM, wow. At current inflation rate that’s well over the 10Yr Treasury……at the moment anyway.
Also picked up some 20Yr Treasuries, 5% YTM with leftover CD money.
Rock & Pig,
I looked at the universe of JEF bonds and, while I’m not looking at a screen right now, they have an~ 15 yr trading well below par at 6.98 ytm on the ask.
JEF has hundred of debt issues I waded through. Not sure these are the best purchase when 10 yr AA+/AAA new issue housing bonds are 4.5 YTM. Tax free. callable
If I weren’t concerned about the muni exemption I’d be buying these.
Yesterday, it was an Arizona issue at Fidelity that did not sell out and may still be in an open order period.
pig-
I fumble around trying to decide what risky dividend stocks to buy based on possible scenarios. My actual portfolio is about 2/3 $1000 IG CUSIPs with maturities and a YOC of ~6%. It’s nice to know you’re going to get your principal back.
Could you list a few of the best 1000 IG Cusips that you think are a good buy at the price they are trading at.
I own several Citicorp 1,000 ones (a notch below IG) with some of them classified and pay out as bonds rather than QDI dividends and wish to diversify.
CoBank 6.45% until 10/1/27, then 5 year T plus 3.487% No maturity date, priced around par, resets every 5 years, Cusip # 19075QAE2, BBB+, qualified distribution
Thank you W Islander. Does seem like a good bond and issuer.
IBKR says 19075QAE2 is minimum $250k buy. A bit more than what I had in mind for a single company / bond.
Any other good ideas?
mSquare.. cobank has annother issue that has been offered around 98.5, and not subject to the 250k min, at least not on IBKR.
19075QAC6
I don’t have the exact details in front of me, here is an estimate based on memory.
6.25% coupon, it floats in 2026 at LIBOR ~4.6% SOFR adj… meaning it should be called and YTC is close to 7% at 98.5
Many, many, other safe-ish type names now, all w varying characteristics. Here are a few $25 issues, all based on today’s pricing.
GL-D
RNR-F/G
SREA
ATCOL
FGN
Thanks, Maine – Found it – https://www.cobank.com/documents/7714906/127131833/CoBank-2024-Annual-Report.pdf/31c5b775-d687-17ba-4b26-19d7599b084b?t=1740785879013 p 119 –
preferred stock at SOFR + 4.66 on 10/1/26 – pays semi-annually until coversion… interestingly, it has the highest PLUS number of all outstanding preferred floaters or resets, increasing likelihood of call…. also looking thru, CoBank seems to have a more active history of calling issues than I realized…
Fido show 30k being sold by customer today at 97.85 but no signs yet of these being reoffered.
Thanks Maine & 2WR
My 6.125% agency bond survives the call last Mon.
https://www.finra.org/finra-data/fixed-income/bond?cusip=3130B4FJ5&bondType=CA
Next call date is 7/7/2025
Seems like the 6%+ agency bonds don’t get call since start of the year unlike last year. China has several hundred billions of agency bonds. Perhaps they may also include selling this beside treasuries.
RT,
I’m noticing AAA taxable munis trading as high as 6.35% today when I search the universe of bonds. I don’t think FHLB is safer than a bond where the collateral has a HUD / FNMA guarantee. Then there’s the fact FHLB stuff is callable, while the bond has a much less likely call.
You’re benefiting on the FHLB yield from having sold a rate option which is factored into the yield. The muni has the same thing but in my experience it’as much less likely to be called.
RT, nothing wrong at all with what youve done; I’m just comparing to alternatives and saying it’s not that surprising it was not called.
I see a 20 year treasury strip (noncall) at 5.18%. Just a few comparisons that I look at when deciding what to buy.
lt,
Got link to that 6.35% muni? Not sure of the buy/sell spread though. I’m retired, so my marginal rate is low and not sure if I’ll benefit from muni. Also wondering how that muni has AAA rating while US debt is AA+ assuming Fitch and S&P ratings are referenced to.
LT, You are the best on finding these munis! Are you scanning Fidelity, IBKR? I have a call in the morning to discuss muni bonds and I have saved your post to share. Anytime you can link a CUSIP, I appreciate it!
I’m sorry, I was traveling most of Friday and didn’t see this . I did a scan of taxable munis using IBKR’s scanner. I think there are still some in that range AA to AAA , but I’d rather have 30 year tips +2.70.
In answer to the previous comment before yours , I believe some of the housing authorities are natural AAA’s on their own, and they can actually get a AAA holding AA+ securities , in the same way I have an annuity with an insurer that has a BBB+ credit rating holding a portfolio of $50 bill corp debt average BBB- rating.That insurer , Sammons Financial, gets an A+ IFSR (insurer financial strength) from Best.
As a third comment, I’d been saying corporate debt was too cheap prior to the recent widening because the insurers offering me 5.45-6.75% 5 annuities had 5 year parent company corp debt at lower yields than their annuities. This is no longer the case
lt probably knows this, but in case other’s don’t, one important thing to know about TIPS is that the taxes are not deferred. In addition to paying tax on the small amount of semi-annual interest you receive, you are also required to pay tax annually on inflation adjustment that you will only receive at maturity. As a result, you generally don’t want to hold them in a taxable account.
Here’s an article about the details: https://tipswatch.com/2021/04/02/frightened-by-a-phantom-tips-are-fine-in-a-taxable-account-until/
And if you are trying to learn more about TIPS, that site is probably the best resource around.
Wow! Great day for secondary market munis!! Plentiful.
I bought some that traded 10$ higher yesterday. weird illiquid markets. There are 5s at par and I got a 4 for 86