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US issuers and insurance companies could benefit as Moody’s relaxes parts of its approach
Investors attracted by relative value versus loans but are not blind to risk
Floridian manager registered the vehicle in Ireland with article 8 SFDR classification
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Chinese property was firmly back on the menu at the end of the year, with issuers making the most of the bullish sentiment following a rate cut by the People’s Bank of China (PBoC). But while falling rates will benefit the sector’s biggest names, smaller borrowers could find conditions tougher in 2015.
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Agroton Public, the Ukraine-based agricultural company, has further delayed interest payments on its $50m notes due 2019 after bondholders voted in favour of the extraordinary resolution on Monday. The company’s operations have been severely impacted by the fighting in eastern Ukraine and analysts say its financial outlook is dire.
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Asian bond investors have been warned to start paying attention to high yield bond covenants, as they may not be as strong as they first appear. Moody’s said issuers are increasingly giving themselves more flexibility to pay shareholders rather than bondholders.
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Outflows from European retail high yield bond funds have accelerated in December, but market participants still remain optimistic about 2015.
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Hearing aid maker Siemens Audiology Solutions this week priced a €275m high yield bond, as part of the financing package for its buyout from Siemens by EQT Partners.
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Europe's high yield bond market has achieved record issuance every year since 2009. But repeating the trick in 2015 will be difficult, some high yield specialists admit — and one of the reasons is the health of the leveraged loan market.