Global Investing

Mini rotation

April 24, 2013

Well, I think we’ve successfully put to bed the idea that there’s any structural shift from bonds to equities going on (see here, here and here). Maybe time to look a little more closely at the numbers to pull out some more discrete swings in allocations.

Emerging corporate bond boom stretches into 2013

February 6, 2013

The boom in emerging corporate debt is an ongoing theme that we have discussed often in the past, here on Global Investing as well as on the Reuters news wire. Many of us will therefore recall that outstanding debt volumes from emerging market companies crossed the $1 trillion milestone last October. This year could be shaping up to be another good one.

Record year for emerging corporate bonds

October 17, 2012

The past 24 hours have brought news of more fund launches targeting emerging corporate debt;  Barings and HSBC have started a fund each while ING Investment Management said its fund launched late last year had crossed $100 million.  We have written about the seemingly insatiable demand  for corporate emerging bonds in recent months,  with the asset class last month surpassing the $1 trillion mark.  Data from Thomson Reuters shows today that a record $263 billion worth of EM corporate debt has already been underwritten this year by banks, more than a fifth higher than was issued in the same 2011 period (see graphic):

European corporate bonds flourishing

February 22, 2012

A new set of data from Thomson Reuters sheds light on blossoming European corporate bond activity.

Credit rally: Bubble or not?

February 20, 2012

Corporate bonds are back in vogue this year but how sustainable is it?

Just to highlight how bullish people have become, see following comments from fund managers:

Calling CCCs

February 17, 2012

Junk bonds have enjoyed a rally since the start of the year but investors are facing a dilemma.

Corporate bonds in sweet spot

February 16, 2012

Anticipation is running high for the ECB’s LTRO 2.0 due on Feb 29.

The first such operation in December has largely benefited peripheral bonds even though estimates show banks used a bulk of their borrowing (seen at  just 150-190 bln euros on a net basis) to repay their debt, as the graphic below shows.

Credit rules, ok?

November 17, 2009

Equities may be the poster child for this year’s market recovery, but corporate bonds have been the runaway outperformer.

from Funds Hub:

Listen to LV’s Tom Caddick

March 9, 2009

Tom Caddick, fund of funds manager at LV= Asset Management, talks about his funds' allocation to equities and his positive outlook on corporate bonds.

Please invest, please

February 4, 2009

Hardly suprising that investment funds want their clients to cough up some money. It is, after all, how they get paid. So an appeal to pension funds from UBS Global Asset Management to stop sitting on the fence is not entirely pro bono. Nonetheless, a new note from the firm that trustees are actually risking things by hanging on to large cash reserves is worth a run through.