EM unleashes primary supply as equity, oil woes no match for yield appetite

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By Mariam Meskin, Oliver West
10 Sep 2020

Emerging markets issuers flocked to bond markets this week with impressive results, despite severe weaknesses in equity and oil markets. A 20bp negative concession for Brazil’s Suzano on Thursday, on the first sustainability-linked bond ever from an EM issuer, wrapped a hectic week as investors dived into the higher yielding asset classes. Mariam Meskin and Oliver West report.

In the past, sell-offs in US equities and oil prices have been bad omens for EM credits. This time the weaknesses elsewhere came as EM DCM bankers prepare for busy weeks ahead, with issuers looking to get ahead of potential volatility around the US election.

Yet six Latin American ...

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