Mighty ECB is clobbering the little guys

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By Mike Turner
07 Jan 2021

The European Central Bank’s bond buying programme is, for better or worse, the saviour of the corporate bond market, keeping access open for most issuers for all but a few days last year. But the easy money for borrowers big enough to access the bond market is inadvertently twisting the screws on already battered small and medium sized enterprises.

The Corporate Sector Purchase Programme has been responsible for money pouring into the bond market since the first height of the coronavirus pandemic in March last year. 

But this only helps the biggest and best capitalised companies. Smaller firms rely on government support to mitigate the catastrophic loss of ...

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