Sat, Sep 20, 2014, 4:36 AM EDT - U.S. Markets closed

Recent

% | $
Quotes you view appear here for quick access.

The Royal Bank of Scotland Group plc Message Board

  • roulloullou roulloullou Oct 17, 2012 8:22 AM Flag

    difference between rbs L and N

    rbs-n dividend was suspended from 4/20/2010 to 5/4/2012 and rbs-l never was. Anyone knows why?

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • Series F - H and L are carried as "Debt". Series N, along some others, are carried as "Equity" and payment for those is discretionary with the Board of Directors.

      • 1 Reply to ynot966813
      • Indeed.I have held the L and the N series for a long time. Indeed the L kept paying while the N (and a lot of others) did not for two years. What is interesting is the price disparity between the two. The L series has a lower coupon than the N, and the L trades for about a point or two less than the N. So, Mr. Market is saying "I would rather accept a slightly lower coupon with some assurance that I will get paid than own the higher coupon with some doubt about it being paid". The market currently prefers the L series with some assurance that it will be paid than the higher coupon which could be suspended again at any time. Like I said, I own them both and by the way, they both qualify for the 15% maximum tax rate.

 
RBS
11.89+0.13(+1.11%)Sep 19 4:05 PMEDT

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.