Emerging Mart Liquidity Hits Tight-Spread Barrier

  • 09 May 2006
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A liquid market for emerging-market collateralized debt obligation tranches is yet to materialize because tight spreads are stunting the number of deals being printed. "There is not the appetite for CDOs because compared to high-yield and crossover, spreads are too tight," said one London-based structurer. The price of protection on the CDX EM diversified, which comprises 40 equally-weighted sovereigns and corporates, is around 88 basis points, compared to 292 bps for the CDX North American High Yield index.
One European emerging-market fund manager said he uses the implied correlation of the index to track the performance of his investments, but has held off using the tranches to hedge. "The correlation between the index and our portfolio is not very high," he explained. "It's not putting our cash to good use."
  • 09 May 2006

All International Bonds

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 Citi 238,370.95 916 8.14%
2 JPMorgan 221,587.27 991 7.57%
3 Bank of America Merrill Lynch 214,543.42 717 7.33%
4 Barclays 184,024.85 666 6.29%
5 HSBC 157,697.44 732 5.39%

Bookrunners of All Syndicated Loans EMEA

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 JPMorgan 32,467.80 60 6.57%
2 BNP Paribas 32,284.10 130 6.53%
3 UniCredit 26,992.47 123 5.46%
4 SG Corporate & Investment Banking 26,569.73 97 5.37%
5 Credit Agricole CIB 23,807.36 111 4.81%

Bookrunners of all EMEA ECM Issuance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 Goldman Sachs 10,167.68 46 8.82%
2 JPMorgan 9,894.90 42 8.58%
3 Citi 8,202.25 45 7.11%
4 UBS 6,098.17 23 5.29%
5 Credit Suisse 5,236.02 28 4.54%