Bank of England Re-Enters the Corporate Debt Market

Post-Brexit stimulus effort by BOE begins Source: The Wall Street Journal The Bank of England made its first foray into the corporate bond market in three years on Tuesday, with an offer to buy the debt of companies in sectors including energy, transport and finance. How successful it was in picking up assets won’t be known…

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These Ex-Traders are Trying to Drag Bond Markets into the Digital Age

Modernizing bond origination through fintech innovation Source: eFinancialCareers Plenty of people have left the trading floors of sell-side and buy-side firms to join or launch a financial technology startup, but in many cases fintech firms are focused on asset allocation, personal financial management or retail banking. Others focus on the trading floor, with a particular focus…

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Learning in Finance

The world of finance is getting more complicated. More specifically, the fixed income market as the largest capital market in the world is expanding in its complexity and importance. There are over 40 different professional designations available to capital market professionals, from chartered financial analyst (CFA), certified public accountant (CPA) to certified fraud examiner (CFE)…

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Junk Bonds Suddenly Look Vulnerable. Now What?

Drop in junk bond market could signal change Source: Barron’s “Frothy” is a good word to describe last week’s high-yield market. The seven-month return for the sector reached 20%—remarkably high for bonds. Average yields, which move in the opposite direction of prices, fell to just 6%, down from 10% in February. Companies rated below investment grade…

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International Bond Dealers Welcome in Canadian Fixed Income Market, Regulators Say

Regulators clarify rules regarding trading for international dealers in Canada Source: Financial Post The Canadian Securities Administrators says it’s willing to grant regulatory relief to ensure that international dealers can participate in the Canadian bond market. The CSA’s statement is a response to a letter the Canadian Bond Investors’ Association sent to the Ontario Securities Commission…

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Emerging Markets: Catch the Yield Where You Can

Large U.S. corporates are diversifying by issuing in foreign markets and currencies Source: The Wall Street Journal Not to worry, there are a few more corners of yield left in the world of bonds. The latest target: emerging-market bonds in local currencies. After pulling out cash for the past three years and into the first quarter…

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