Summary:
This week, ASX-listed hybrids maintained a steady performance across both standard and non-standard instruments. Among the top performers in terms of running yield were Nufarm (NFNG) at 9.09%, Latitude (LFSPA) at 8.43%, and Macquarie Bank (MBLPC) at 8.30%, offering attractive income opportunities for yield-focused investors.
Day-to-day price movements were mixed. Challenger (CGFPC) led gains with +3.09%, followed by AMP Group (AMPPB) at +0.57% and Challenger (CGFPD) at +0.57%. On the downside, Macquarie Bank (MBLPC) fell sharply by -5.64%, while Latitude (LFSPA) slipped -0.51% and Bendigo Bank (BENPH) declined -0.45%.
Trading margins remained broadly stable, with Latitude (LFSPA) standing out at 5.42%, and Nufarm (NFNG) at 5.44%, indicating a mix of high yield and elevated risk-reward dynamics. Most major bank-issued hybrids continued to trade in the 1.5%–2.0% margin range, reflecting moderate risk appetite.
Average closing prices hovered near or slightly above par, though select instruments such as Macquarie Group (MQGPF) at 106.75, Ramsay Health Care (RHCPA) at 107.10, and Bendigo Bank (BENPH) at 104.24 traded well above, signalling continued investor confidence in these names.
Despite minor day-to-day fluctuations, the hybrid market continues to provide a stable income stream, though investors should remain mindful of call dates and potential regulatory changes impacting bank capital structures.
Figure 1: Hybrids: Median Sector Margin
ASX-Listed Hybrids
COMPANY CODE HYBRID TYPE MATURITY/
CALL
DATEMARGIN
INCL. CREDITSTRADING
MARGINDAY
CHANGEDAY
CLOSERUNNING
YIELD**AMP Group AMPPB Capital Notes 2 16/12/2025 4.50% -0.19% -3.28% 101.45 8.11% Macquarie Bank MBLPC Capital Notes 2 22/12/2025 4.70% -15.46% -15.01% 103 8.18% Challenger CGFPC Capital Notes 3 25/05/2026 4.60% 2.76% -1.23% 101.07 8.16% Nat Aust Bank NABPF Capital Notes 3 17/06/2026 4.00% 1.28% -0.14% 102.4 7.52% Suncorp SUNPH Capital Notes 3 17/06/2026 3.00% 1.82% 0.13% 101.43 6.59% Macquarie Group MQGPD Capital Notes 4 10/09/2026 4.15% 1.78% -0.04% 103 7.64% CBA CBAPJ PERLS 13 20/10/2026 2.75% 1.44% 0.13% 101.9 6.31% Latitude LFSPA Capital Notes 27/10/2026 4.75% 5.56% 0.15% 99.85 8.44% Westpac WBCPJ Capital Notes 7 22/03/2027 3.40% 1.46% -0.10% 103.23 6.87% CBA CBAPI PERLS 12 20/04/2027 3.00% 1.17% -0.38% 103.25 6.48% Bank of Queensland BOQPF Capital Notes 2 14/05/2027 3.80% 1.94% -0.26% 102.93 7.25% Bendigo Bank BENPH Capital Notes 15/06/2027 3.80% 1.64% 0.12% 104.09 7.20% Macquarie Group MQGPE Capital Notes 5 20/09/2027 2.90% 1.72% 0.22% 103 6.41% Nat Aust Bank NABPH Capital Notes 5 17/12/2027 3.50% 1.61% -0.10% 104.47 6.89% ANZ Bank AN3PI Capital Notes 6 20/03/2028 3.00% 1.65% 0.11% 103.71 6.45% CBA CBAPL PERLS 15 15/06/2028 2.85% 1.69% 0.02% 103.5 6.31% Suncorp SUNPI Capital Notes 4 17/06/2028 2.90% 1.96% 0.24% 103.05 6.39% Westpac WBCPL Capital Notes 9 22/09/2028 3.40% 1.82% 0.14% 104.79 6.76% Macquarie Bank MBLPD Capital Notes 3 7/12/2028 2.90% 2.27% 0.23% 101.91 6.42% Bank of Queensland BOQPG Capital Notes 3 15/12/2028 3.40% 2.09% 0.22% 104.5 6.79% ANZ Bank AN3PJ Capital Notes 7 20/03/2029 2.70% 1.83% -0.09% 103.38 6.17% Challenger CGFPD Capital Notes 4 25/05/2029 3.60% 2.37% -0.43% 103.95 6.97% CBA CBAPK PERLS 14 15/06/2029 2.75% 1.67% -0.20% 104.16 6.18% Insurance Australia IAGPE Capital Notes 2 15/06/2029 3.50% 1.97% 0.09% 105.79 6.81% Macquarie Group MQGPF Capital Notes 6 12/09/2029 3.70% 2.16% 0.19% 106.2 6.98% Nat Aust Bank NABPI Capital Notes 6 17/09/2029 3.15% 1.74% -0.03% 105.48 6.48% Westpac WBCPK Capital Notes 8 21/09/2029 2.90% 1.49% -0.21% 105.39 6.24% ANZ Bank AN3PK Capital Notes 8 20/03/2030 2.75% 2.01% 0.09% 103.6 6.21% CBA CBAPM PERLS 16 17/06/2030 3.00% 1.70% 0.03% 105.78 6.32% Suncorp SUNPJ Capital Notes 5 17/06/2030 2.80% 2.05% 0.08% 103.75 6.25% Nat Aust Bank NABPJ Capital Notes 7 17/09/2030 2.80% 1.83% 0.08% 104.7 6.19% Bendigo Bank BENPI Capital Notes 2 13/12/2030 3.20% 2.27% 0.01% 104.75 6.58% Insurance Australia IAGPF Capital Notes 3 15-Dec-30 3.20% 2.09% 0.14% 105.64 6.53% ANZ Bank AN3PL Capital Notes 9 20-Mar-31 2.90% 1.92% 0.01% 105.1 6.27% Westpac WBCPM Capital Notes 10 22-Sep-31 3.10% 1.84% 0.02% 106.6 6.36% Macquarie Group MQGPG Capital Notes 7 15-Dec-31 2.65% 2.21% 0.10% 103.3 6.14% Nat Aust Bank NABPK Capital Notes 8 17-Mar-32 2.60% 1.86% -0.04% 104.5 6.01% ASX-Listed Hybrids (Non-standard)
COMPANY CODE BOND TYPE CALL DATE ISSUE MARGIN (inc frank) TRADING MARGIN DAY CLOSING PRICE RUNNING YIELD Nufarm NFNG Step Up Perpetual 3.90% 5.41% -0.05% 86.61 9.05% Ramsay Health Care RHCPA Preference Share Perpetual 4.85% 4.65% 0.09% 105.85 8.29%