Amid heightened volatility across global markets, dollar bonds have experienced significant movements, with yield spreads over U.S. Treasuries widening notably. In light of this, we have compiled a list of recently popular investment-grade dollar bonds issued by financial institutions, all offering yields above 6% and featuring an outstanding amount of over USD 500 million. The…...
Updated: Monday, May 01, 2025 As global investors recalibrate risk in an environment shaped by shifting central bank policies and uneven macro growth, Asia’s credit markets are emerging as a dual-engine for portfolio strategy in 2025. Investment Grade (IG) offers a foundation of stability and predictable yield, while High Yield (HY) showcases resilience, backed by…...
April 30, 2025 Market Sentiment Overall sentiment was mixed, affected by weak US data vs resilient equities and new supply focus. DJT’s tariffs impacted sentiment, although the overnight mood was positive. Secondary credit flows were not robust, and month-end factors influenced trading activity across markets. Regional & Currency Performance US IG spreads finished 2-4 wider,…...
Mastering the Order of Things: Debt Hierarchy and Bond Features Understanding the debt hierarchy (senior vs. subordinated, and the concept of structural subordination) is critical for assessing your recovery prospects in a downturn. For example, in a bankruptcy, senior secured bondholders (backed by specific assets) are typically paid before senior unsecured bondholders, who are paid…...
Decoding the Danger Zone: Understanding the Core Risks (Continued from our earlier discussion) Inflation risk could silently erode your returns Inflation reduces the purchasing power of your returns. If your bond’s yield is lower than the inflation rate, you’re losing ground in real terms. Imagine having bought a bond yielding 2%, but inflation rises to…...
