LatAm Bonds

Exotix, the London-based brokerage, has hired a team from Mizuho International to launch an alternative financing group (AFG), which will provide non-typical financing solutions for companies in emerging markets.

The LatAm market remained in limbo this week as issuers awaited the outcome of deliberations in the US over its debt ceiling. However, a small tender from Transener and the prospect of sovereign supply trickling out of Venezuela in the coming weeks provided points of interest.

Latin American borrowers bold enough to venture out in volatile bond markets were rewarded this week, as Braskem, Pemex and the Dominican Republic all won substantial oversubscription for their dollar benchmark issues.

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Everybody hoped that Thursday’s meeting in Brussels would spawn a package to fix Greece’s debt crisis and halt contagion throughout the eurozone. German chancellor Angela Merkel said the meeting was unlikely to be "one spectacular event that solves everything".

Though some details remain up in the air the European Commission’s new CRD IV proposals have brought banks significantly closer to issuing tier one hybrids that absorb losses through equity conversion, according to regulatory capital structurers.

The European Financial Stability Facility (EFSF) will be recalibrated as the saviour of European government debt markets if the sweeping new measures contained in the draft proposal from Thursday’s summit of eurozone heads of council are ratified by the 17 euro area member states.