Green bonds can help sovereign issuers to address the issues of ethical finance and long-term sustainability Source: Bond Vigilantes Compared to one and a half years ago, when the prevailing narrative was still revolving around global synchronised growth, the economic outlook for Europe has darkened significantly. From ‘peak optimism’ levels in late 2017, Euro area…
Demand for Chinese convertible bonds rises as fixed income investors look to boost returns Source: Bloomberg Shut out of a world-beating rally in equities, China’s fixed income investors are chasing the next closest thing. The battle for equity-like returns is driving up interest in the country’s nascent convertible bond market. Showing just how coveted the…
Greece returns to bond market to take advantage of low borrowing costs Source: Bloomberg Greece is selling debt for the second time this year, taking advantage of lower borrowing costs after an upgrade from Moody’s Investors Service. The nation has mandated six banks as lead managers for a new 10-year bond, according to an Athens…
Strong demand for high yield debt helps Bombardier double their debt offering Source: Bloomberg Bombardier Inc. doubled the size of its offering as it sold debt in a red-hot junk-bond market to refinance a chunk of its $9.1 billion debt pile. The manufacturer of planes and trains sold $2 billion of eight-year notes, compared with…
Tightening bias from regional central banks lead to substantial outflow in Asian bond markets Source: The Star Foreign flows into emerging Asian bonds turned negative for the first time in four months in January, data from Malaysia and others showed, suggesting that a shift away from a tightening bias for regional central banks is dimming…
Verizon Entering Green Bond Market Fuels Optimism That More U.S. Corporations Will Begin Tapping Into The Growing Pot Of Money Seeking To Invest In Sustainable Projects Source: Bloomberg Verizon Communications Inc.’s billion-dollar entrance into the green-bond market this week is fueling optimism that more U.S. corporations will begin tapping into the growing pot of money…
Green Bond Market in-line to hit Tremendous Valuation of $200B in 2019 Source: Forbes Global green bond issuance looks set to scale new heights, if a new industry report on issuance levels is anything to go by. Moody’s Investors Service has forecast a 20% annualized jump in issuance to $200 billion in 2019, citing continued…
Quant Investing Is Slowly Expanding Beyond Stocks And Into Fixed Income Source: Bloomberg The quants are coming for the bond kings. In recent years, quantitative finance has reshaped equity-market investing, with trend-following strategies and risk-parity funds becoming such a force that they’re often seen as responsible for violent swings in stocks. Fixed income, on the…
Over the past two years, we have witnessed profound changes in the fixed income marketplace with counterparties increasingly adopting quantitative investing and liquidity risk monitoring techniques. These include adoption of new methods of analysis such as AI analytics like COBI-Pricing algorithm. Source: Overbond Fixed Income Artificial Intelligence The financial services market is embracing digital processes…
Banks Issuing Covered Bonds To Reduce Their Funding Costs In Volatile Markets. Source: Bloomberg Canadian banks are issuing record levels of covered bonds, mortgage-backed debt pioneered in Prussia, helping them to lower funding costs in volatile markets. The country’s lenders have sold 5.75 billion euros ($6.5 billion) of covered bonds this year, up about 50…
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