JPMorgan Takes Carry Trade To Asia

JPMorgan is pitching an investment structure that will give Asian investors exposure to foreign interest rates.

  • 26 Jan 2007
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JPMorgan is pitching an investment structure that will give Asian investors exposure to foreign interest rates. The CarryMAX structure is an update of the carry trade strategy traditionally used only by hedge funds. Charles Wong, head of rates structuring Asia-pacific ex-Japan, said it "caters to fixed-income as well as retail-type investors," citing demand in Asia from both these groups.

One thing in particular these groups want is foreign exposure, noted Wong. Some, who have quotas to fill on foreign investments, will want U.S. dollar denominations, but locally-denominated versions will be on offer. He said the trade is similar to a version rolled out late last year in Europe, but JPMorgan has added a few other features, including payouts in local currencies.

CarryMAX uses an algorithm to select between nine different interest-rate swap markets including the U.S., the U.K., Japan, the euro area, Denmark, Sweden, Canada, Australia and Switzerland. It then goes long on the two with the most positive carry and shorts the two with the lowest rates. Investments are currency hedged so the investor does not take on currency exchange risk.

  • 26 Jan 2007

All International Bonds

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 09 Jun 2017
1 Citi 206,449.53 755 8.84%
2 JPMorgan 192,919.68 823 8.26%
3 Bank of America Merrill Lynch 175,174.46 602 7.50%
4 Barclays 144,195.77 526 6.17%
5 Goldman Sachs 139,497.22 445 5.97%

Bookrunners of All Syndicated Loans EMEA

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 20 Jun 2017
1 Deutsche Bank 23,530.61 67 7.96%
2 HSBC 20,994.25 74 7.11%
3 Bank of America Merrill Lynch 20,490.14 49 6.93%
4 Credit Agricole CIB 15,076.29 72 5.10%
5 BNP Paribas 14,834.05 81 5.02%

Bookrunners of all EMEA ECM Issuance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 20 Jun 2017
1 JPMorgan 10,673.78 46 8.06%
2 Citi 9,632.20 60 7.28%
3 Goldman Sachs 9,310.79 46 7.03%
4 UBS 9,230.61 36 6.97%
5 Morgan Stanley 8,508.94 46 6.43%