Bond market action from around the world with a focus on Dim Sum debt and dollar bonds issued by Chinese firms.

Good or bad, onshore bonds show little pricing difference for Chinese developers

The domestic corporate bond market for Chinese developers has a short history and issuer ratings are either double A or triple A. Photo: Dickson Lee

All Chinese developers rated double or triple A, with bonds priced in narrow range

Sunday, 9 August, 2015, 11:46pm 1 comment

As China’s stock market tanks, investors flee into government-backed bonds

Mainland stock markets have slumped by 32 per cent or more since mid-June. Photo: Reuters

With Chinese policymakers so far unable to stem a rout in mainland equities, money is flowing back into government- and state-backed bonds – driving yields lower and potentially easing strains on debt-laden local governments.

Yields on 10-year Chinese treasury bonds fell 10 basis points (bps) on Wednesday at the open as investors sought the safety of government debt.

8 Jul 2015 - 5:35pm

Asian G3 bond issuance posts first-half record

Samurai bond issuance slumped 37.1 per cent year on year. Photo: Reuters

Asian issuers sold a record amount of international bonds in the first half of this year, underlining the region’s resilience in the face of mounting turmoil in the rates markets.

Bond sales in US dollars, euros and yen reached US$115.6 billion in Asia, excluding Japan and Australia, up 4.8 per cent from the first half of 2014 - a record year for Asian G3 bond issuance.

2 Jul 2015 - 5:34pm

Yuan bonds issued in Taiwan surge; China to allow mainland firms to issue bonds in Taiwan

A Taiwan bank staffer counts yuan bank notes as the amount of yuan-denominated bonds issued in Taiwan has surged this year. Photo: AFP

Issuance of formosa bonds - yuan-denominated bonds issued in Taiwan - has surged this year thanks to strong demand for yuan assets and relaxed regulations.

"Renminbi funds here are increasing and investors want to seek better investment tools than low-yielding bonds denominated in Taiwan dollars," said Penny Chen, a fixed-income fund manager at Manulife Asset Management in Taiwan.

24 Jun 2015 - 1:51pm

Central China Real Estate to issue US$300 million 6-year senior notes

An office worker in Beijing at a real estate agency. Photo: Xinhua

Central China Real Estate plans to tap the offshore bond market with a plan to issue US$300 million senior notes due in 2021.

It said in a filing with the stock exchange on Wednesday it would price the six-year notes at an interest rate of 8.75 per cent per annum.

The proceeds will be used to repay existing debt.

17 Apr 2015 - 3:55pm

China’s Haitong Securities to raise US$670 million in 5-year bonds

Lin Yong, the chief executive of Haitong International Securities Group Ltd. at his office. Photo: Paul Yeung

Haitong Securities is seeking to raise US$670 million in a five-year US dollar bond offering, four months after the Shanghai based brokerage raised US$3.9 billion in a private share placement in December.

17 Apr 2015 - 3:55pm

Cloud Live default positive for China bond market

An investor watches prices on an electronic screen in China. Photo: Reuters

The default of Cloud Live Technology, the mainland’s second onshore bond default, was positive for the long-term outlook of China’s bond market, Fitch Ratings said in a report on Friday.

17 Apr 2015 - 3:55pm

Foreign creditors reject Kaisa plan to restructure debt

Kaisa Group Holdings has US$2.5 billion in offshore debt and US$7.6 billion in domestic debt. Photo: Reuters

What's next for China developer Kaisa after debt holders say "no" to proposal

17 Apr 2015 - 3:55pm

Investors bearish on Malaysia dollar bonds

Invesco is bearish on Malaysia dollar bonds and the ringgit. Photo: Bloomberg

Malaysian corporate dollar bonds are Asia's poorest performers this year and investors say worse is to come.

17 Apr 2015 - 3:55pm 1 comment

Hambro's rescue plan for gold miner Petropavlovsk faces uphill battle

Peter Hambro is asking retail investors to back rescue plan. Photo: Bloomberg

Peter Hambro, who descended from a wealthy line of Anglo-Danish bankers, recalls receiving a bottle of whisky as a gift from his mother's gardener.

It was a token of thanks after seeing a good return on his investment in Hambro's Russian gold-mining business.

"I've made so much money, the least I can do is give you a drink," Hambro remembers the gardener saying at the time.

17 Apr 2015 - 3:55pm

Chart of the day: Australian rate calls wrong-footed again

Chart of the day: Australian rate calls wrong-footed again

Many investors have been anticipating Australian int

17 Apr 2015 - 3:55pm

Kaisa stock takes a hit after note on bonds

Troubled Chinese developer Kaisa has warned that lenders and bondholders should not expect payments of principal and interest "according to existing terms". Photo: Reuters

Kaisa Group’s bond and share prices took a hit on Thursday after the troubled mainland developer hinted at renegotiating its debts.

17 Apr 2015 - 3:55pm

Dim sum bonds slump 53pc on bearish yuan bets

The yuan's overnight interbank lending rate touched a record 8.6 per cent on February 6, triple the past year's average. Photo: Reuters

Offshore yuan bond sales have slumped 53 per cent this year as borrowing costs in Hong Kong surged on bearish bets against the mainland currency.

17 Apr 2015 - 3:55pm

Evergrande Real Estate offers 12pc for bond

Evergrande Real Estate is offering a much higher interest rate than its peers as it taps the market at a time of uncertainty over Chinese developers. Photo: Reuters

Evergrande Real Estate Group will pay a much higher interest rate than peers as it taps the offshore bond market amid the uncertainty over China’s property market in the wake of developer Kaisa’s debt problems.

The Guangzhou-based developer announced that it had priced its five-year US$1 billion senior notes due 2020 at an annual interest rate of 12 per cent.

17 Apr 2015 - 3:55pm

Luxembourg and France face-off in race to be euro zone yuan hub

Luxembourg and Paris have 72.8 billion yuan and 25.4 billion yuan of renminbi deposits respectively, according to PWC. Photo: Reuters

Luxembourg and France are racing to be the first to sell a euro zone sovereign dim sum bond, the key step in staking a claim as the single currency bloc's offshore yuan hub.

Sovereign issuance is regarded by international investors as the crucial benchmark for developing a liquid market in foreign currency instruments.

17 Apr 2015 - 3:55pm