Thursday, May 29, 2014

The demise of the bond market

The most obvious examples are governments. Greece, which returned to markets by issuing €3bn in five-year bonds in April, could have raised much more but its aim was to create benchmarks and rebuild its yield curve – the availability of a range of bonds with different maturities. 
Like Ferrari, Greece’s debt agency knows its interests lie in helping the resale market; the country’s future financing needs are considerable, to say the least. Companies looking to raise debt over a number of years think similarly.


http://www.ft.com/cms/s/0/fb3b651e-e6fb-11e3-aa93-00144feabdc0.html?ftcamp=published_links/rss/markets/feed//product&siteedition=uk#axzz3378rNeUm

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