Korea sets benchmark with dollar, euro outing

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By Morgan Davis
10 Sep 2020

The Republic of Korea wowed investors in the dollar and euro markets on Wednesday, with a record $1.45bn-equivalent dual-tranche bond. The deal, split between 10 year dollar and five year euro notes, was priced at ultra-tight spreads — including a negative yield for the euro tranche. Morgan Davis reports.

The sovereign first announced its trade on Monday to re-establish contact with investors.

The timing was odd, as Monday was a public holiday in the US, so investors in the country could not be courted until Tuesday. But Korea wanted to begin speaking with European investors earlier, as ...

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