Credit: Shutterstock photoOn 10/30/14, Bank of Montreal's Non-cumulative Perpetual Class B Preferred Shares Series 13 (TSX: BMO-PRJ.TO ) will trade ex-dividend, for its quarterly dividend of $0.2812, payable on 11/25/14. As a percentage of BMO.PRJ's recent share price of $25.76, this dividend works out to approximately 1.09%, so look for shares of BMO.PRJ to trade 1.09% lower - all else being equal - when BMO.PRJ shares open for trading on 10/30/14. On an annualized basis, the current yield is approximately 4.37%.
As of last close, BMO.PRJ was trading at a 3.08% premium to its liquidation preference amount. Investors should keep in mind that the shares are not cumulative , meaning that in the event of a missed payment, the company does not have to pay the balance of missed dividends to preferred shareholders before resuming a common dividend. The chart below shows the one year performance of BMO.PRJ shares, versus BMO:
Below is a dividend history chart for BMO.PRJ, showing historical dividends prior to the most recent $0.2812 on Bank of Montreal's Non-cumulative Perpetual Class B Preferred Shares Series 13:
According to the ETF Finder at ETF Channel, Bank of Montreal (TSX: BMO.TO ) makes up 3.00% of the SPDR MSCI Canada Quality Mix ETF ( QCAN ) which is trading relatively unchanged on the day Tuesday.
In Tuesday trading, Bank of Montreal's Non-cumulative Perpetual Class B Preferred Shares Series 13 (TSX: BMO-PRJ.TO ) is currently trading flat on the day, while the common shares (TSX: BMO.TO ) are trading flat.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
