First National Financial LP
preferred-shares

Preferred Shares

First National’s capital structure includes Class A Series 1 and Class A Series 2 Preference Shares. Both classes of share pay quarterly dividends and both trade on the Toronto Stock Exchange.

A strong track record of preferred share dividend payments

Series 1 preferred shares pay fixed rate dividends which rate resets every five years. The last reset brought the annual dividend rate for the five-year period commencing on April 1, 2021, and ending on March 31, 2026 to 2.895%.

See dividend history

Dividend history over the years for Series 1

Series 2 preferred shares pay floating rate dividends which floating rate resets quarterly based on the 90-day Canadian Treasury Bill on the Floating Rate Calculation date plus a spread of 2.07% based on an actual/365 day count basis, subject to certain adjustments. The floating rate is announced quarterly by way of a news release.

See dividend history

Dividend history over the years for Series 2
  • TSX trading symbols

    Our preferred shares trade on the TSX under the symbols FN.PR.A (Series 1) and FN.PR.B (Series 2)

  • Registrar and transfer agent

    Please contact Computershare Investor Services Inc., Toronto, Ontario, 1.800.564.6253 for information on record dates and ex dividend dates.

  • Issue price and par value

    $25 per share.

  • Payment frequency

    Quarterly on or about the 15th of April, July, October and January

  • Priority

    In the event of liquidation or dissolution, Series 1 and Series 2 shareholders will be entitled to receive $25.00 per Series 1 and Series 2 shares before any amount is paid or any assets of the Corporation are distributed to the holders of any shares ranking junior to Series 1 and Series 2.

  • Voting rights

    Holders of Series 1 and Series 2 are not entitled to vote at any meeting of shareholders of First National unless the Company fails to pay eight quarterly preferred share dividends or unless a special meeting of the preferred shareholders is called.

  • Conversion

    Series 1 shareholders are entitled to convert, subject to certain restrictions, to Series 2 every five years, on a one-for-one basis. Series 2 shareholders are entitled to convert, subject to certain restrictions, to Series 1 every five years, on a one-for-one basis. The next conversion date is March 31, 2026.

  • Redemption

    Our Series 1 and Series 2 shares do not have fixed maturity dates and are not redeemable at the option of the holders.

  • Tax treatment

    Dividends (including deemed dividends) received on Series 1 shares or the Series 2 shares by an individual (other than certain trusts) will be included in the individual’s income and will be subject to the gross-up and dividend tax credit rules applicable to taxable dividends received from taxable Canadian corporations. Please consult your personal tax advisor for specific tax advice.

  • Tax treatment on dispositions

    A holder who disposes of, or is deemed to dispose of, Series 1 or Series 2 shares (either on redemption of the shares for cash or otherwise, but not on a conversion) will generally realize a capital gain/loss to the extent that the proceeds of disposition, net of any reasonable costs of disposition, exceed (or are less than) the adjusted cost base of such shares to the holder. Please consult your personal tax advisor for specific tax advice.

  • Interest rate fluctuations

    Prevailing yields on similar securities will affect the market value of Series 1 shares and Series 2 shares. Assuming all other factors remain unchanged, the market value would be expected to decline as prevailing yields for similar securities rise and would be expected to increase as prevailing yields for similar securities decline. Spreads over the Government of Canada bond yield, T-Bill rate and comparable benchmark rates of interest for similar securities will also affect the market value in a similar manner.

Series 1 preferred share dividends to shareholders

Record date Payment date Dividend amount
Jun 30, 2022 Jul 15, 2022 0.180938
Mar 31, 2022 Apr 15, 2022 0.180938
Dec 31, 2021 Jan 14, 2022 0.180938
Sep 30, 2021 Oct 15, 2021 0.180938
Jun 30, 2021 Jul 15, 2021 0.180938
Mar 31, 2021 Apr 15, 2021 0.174375
Dec 31, 2020 Jan 15, 2021 0.174375
Sep 30, 2020 Oct 15, 2020 0.174375
Jun 30, 2020 Jul 15, 2020 0.174375
Dec 31, 2019 Jan 15, 2020 0.174375
Sep 30, 2019 Oct 15, 2019 0.174375
Jun 28, 2019 Jul 15, 2019 0.174375
Mar 29, 2019 Apr 15, 2019 0.174375
Dec 31, 2018 Jan 15, 2019 0.174375
Sep 28, 2018 Oct 15, 2018 0.174375
Jun 29, 2018 Jul 16, 2018 0.174375
Mar 29, 2018 Apr 16, 2018 0.174375
Dec 29, 2017 Jan 15, 2018 0.174375
Sep 30, 2017 Oct 16, 2017 0.174375
Jun 30, 2017 Jul 14, 2017 0.174375
Mar 31, 2017 Apr 17, 2017 0.174375
Dec 30, 2016 Jan 16, 2017 0.174375
Sep 30, 2016 Oct 14, 2016 0.174375
Jun 30, 2016 Jul 15, 2016 0.174375
Mar 31, 2016 Apr 15, 2016 0.290625
Dec 15, 2015 Jan 15, 2016 0.290625

Series 2 preferred share dividends to shareholders

Record date Payment date Dividend amount
Jun 30, 2022 Jul 15, 2022 0.167353
Mar 31, 2022 Apr 15, 2022 0.135555
Dec 31, 2021 Jan 14, 2022 0.141655
Sep 30, 2021 Oct 15, 2021 0.137307
Jun 30, 2021 Jul 15, 2021 0.136625
Mar 31, 2021 Apr 15, 2021 0.134322
Dec 31, 2020 Jan 15, 2021 0.139194
Sep 30, 2020 Oct 15, 2020 0.146107
Jun 30, 2020 Jul 15, 2020 0.230484
Mar 31, 2020 Apr 15, 2020 0.231988
Dec 31, 2019 Jan 15, 2020 0.233655
Sep 30, 2019 Oct 15, 2019 0.236742
Jun 28, 2019 Jul 15, 2019 0.233858
Dec 17, 2018 Jan 15, 2019 0.225526
Sep 28, 2018 Oct 15, 2018 0.212356
Jun 29, 2018 Jul 16, 2018 0.202008
Mar 29, 2018 Apr 16, 2018 0.181356
Dec 29, 2017 Jan 15, 2018 0.177195
Sep 30, 2017 Oct 16, 2017 0.163773
Jun 30, 2017 Jul 14, 2017 0.158938
Mar 31, 2017 Apr 17, 2017 0.158979
Dec 30, 2016 Jan 16, 2017 0.162701
Sep 30, 2016 Oct 14, 2016 0.157816
Jun 30, 2016 Jul 15, 2016 0.157816

First National listed on the TSX in 2006 and is known for consistent profitability and effective risk management.