Weekly trading idea: Buy Bendigo Preference Shares (BENPB)

Weekly trading idea: Buy Bendigo Preference Shares (BENPB). In a market where it is becoming increasingly difficult to find value, BENPB rank near the top of our most attractively priced securities. For a security with just over 12 months to its step-up date (15 June 2015), an entry price of $97.60 provides an attractive gross yield to maturity of 6.51%. This comprises a 2.37% capital return ($100 / $97.60 annualised for 378 days) and a gross running yield of 4.14% (2.68% BBSW + 1.50% margin = $4.18 gross, annualised for 378 days).