Pandemic bond slips as coronavirus spreads
The value of the riskier tranche of the World Bank’s pandemic bond has been discounted — but not by very much — as the coronavirus outbreak infects more people outside of China and therefore comes closer to triggering a payout from the notes.
“Broker prices slipped only slightly on the riskier tranche,” said one investor.
This riskier class ‘B’ tranche is now marked between 60 and 70 cents on the dollar, he said.This does not reflect much of a change since before the outbreak. The tranche had been marked at around ...