Defaults in China’s US$4.1 trillion corporate bond market could hit record high this year as recovery remains fragile

With the Chinese economy in a precarious situation, some fund managers are bracing for defaults on domestic Chinese debt to hit record highs this year. The situation is similar in the West, with US corporations already experiencing a slew of downgrades and defaults. Monitor and sidestep these delinquencies with Overbond’s Probability of Default feature that measures company…

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Emerging market corporate bonds can provide higher returns for an equivalent risk

Emerging markets are turning into a mainstream asset class providing a wider bond market corporate issuers with diversification as a key element. Source: The National Corporate bonds have a long tradition in developed markets, with a large investor base across the credit rating spectrum. Over the past decade, corporate bonds of issuers based in emerging…

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Corporate Bonds Are All the Rage in Emerging Markets

Corporate Bonds Surge for the 12th Successive Month in Emerging Markets Source: Yahoo Finance Demand for corporate bonds is deepening in emerging markets as political strife from Hong Kong to Lebanon and Latin America drives investors away from government debt. The Bloomberg Barclays index for corporate securities in the developing world is rising for a…

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Middle East fixed income proves a safe haven within emerging markets

Middle East fixed income proves a safe haven within emerging markets Source: The National Emerging markets are rarely uneventful, with no shortage of idiosyncratic risks that require constant vigilance. These events can dominate investor thinking, making it easy to neglect the broader opportunity the asset class offers. Indeed, there are parts of the emerging market…

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Investors find value in emerging market debt

  Analysts and economists expect long-term rates in the U.S. to trade within a range possibly driving a search for yield in emerging markets, however, some advisors remain unconvinced and choose to take risks only in stocks, using low-risk, high-quality bond investments to balance a portfolio. Source: CNBC A good reason to buy the bonds of…

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Jumbo gov’t deals lift 2016 sovereign emerging bond sales to record high

2016 saw emerging markets raising $450 billion in global bond markets, with 2017 expected to be robust Source: Thomson Reuters Dec 22 Emerging governments and companies have raised close to $450 billion on global bond markets in 2016, with sovereign sales hitting record highs, and issuance next year will likely be robust as borrowers scramble to…

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Emerging Markets Corporate Bonds Look Good

Emerging market corporate bonds offer a reasonable prospect of both, risk and return. Source: Barrons Where can you get 5% annual returns and still sleep at night? Emerging market corporate bonds offer a reasonable prospect of both, according to Loomis Sayles. Acknowledging the risks — pressure on commodity prices, wobbly global growth, and rising U.S. interest…

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