I would like to buy some bank capital notes and was wondering if you have any preferences in this area?
A: The market is now pretty efficient so that the notes all trade around the same margin.
You could look at one of the recent Westpac issues – WBCPI (Westpac Capital Notes 6). It pays a margin of 3.7% over the 90 day bank bill. It is offered on the ASX at 100.23.