Structured MTNs buck downward trend as investors hunt yield

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By Lewis McLellan
07 Aug 2020

Although the MTN market contracted during the first half of 2020, structured issuance rose. The bulk of the increase came in the form of notes with calls added to enhance yield.

“With yields so low, investors are more keen than usual to look at notes with call structures,” said an MTN banker in London. “You can go down the credit spectrum, or out the maturity curve to get extra yield, but some investors are restricted and call options give ...

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