Asia Pacific

Bank of China has opened books for what will be landmark deal issued in four different currencies in the same day. However, some investors decided not to jump into the deal, thinking that the issuer came out with too tight pricing from the beginning.

The Government of Mongolia has opened books to its debut dim sum bond on the morning of June 24. The country intends to be a regular in the currency and expects to be more active in the offshore bond market once its rating is upgraded, according to the country’s minister of finance and central bank governor.

Bank of China has signalled its commitment to Beijing’s “One Belt One Road” policy with plans for a new five-tranche, four-currency bond that will be issued by its branches along the trade rout. The senior notes in dollars, euro, Singapore dollar and offshore renminbi are expected to raise up to $4bn and are a global first.

Stronger-than-expected PMI data has prompted paying in short CNY swaps, flattening the curve. Meanwhile, Japan's megabanks are planning to issue offshore renminbi bonds in Tokyo, writes Deirdre Yeung of Total Derivatives.

Haitong UT Capital has launched a benchmark sized dim sum bond, making its way into a busy market as borrowers make the most of a small window of opportunity.

Reinsurance company Swiss Re has received the first RMB qualified foreign institutional investor licence in Switzerland. Meanwhile, Singapore-based UOB Asset Management has told GlobalRMB that it will launch three new RQFII products before the end of 2015.

The Government of Mongolia, which was roadshowing its debut renminbi bond in Singapore on Monday before moving to Hong Kong on Tuesday, is looking at a possible issue size of up to Rmb2bn ($322m) with a tenor of three or 3.5 years, sources have told GlobalRMB.

Chinese names have packed up and are heading out for investor meetings across Asia and Europe as the issuers consider bonds denominated in dollars, renminbi and euros.

Bank of China’s (BoC) proprietary cross-border RMB index (CRI) for April 2015 saw an increase in RMB usage, with capital account account RMB outflows rising steadily on the back of recent liberalisations.

The Government of Mongolia is set to explore the offshore renminbi (CNH) market for the first time. This follows the overwhelming success of UK’s debut dim sum offering last year, which was the first from a non-Chinese sovereign.

Commodity trader Trafigura is set to launch its annual financing and is looking for $2bn. The company is in the process of forming the mandated lead arranger and bookrunner group, said a banker.

In this round-up, Singapore deposits fell in the first quarter this year, Taiwan RMB deposits rose to a new record, Bank of China joined the new gold benchmark, and the first overseas inverse ETF shorting A-shares entered the market.