European Chart of the Week: 2nd December 2019
The European high yield bond market has remained busy this month, with issuance at EUR 10.2bn through November 25. Bond volume has been strong since the start of September, with the most recent three-month period posting the highest level of issuance since 4Q17.Issuance in September (EUR 12.9bn) was the highest monthly total since October 2017 and October 2019 was another robust month (EUR 12.3bn). High yield bond volume in 2019 to date has totaled EUR 88.6bn, topping the year-ago figure by 20%.
Lower rated bonds (B1 and below) have seen their market share slip recently to 51% in November from 71% in October and 64% in September. On a year-to-date basis, the market share for B1 and below credits has declined to 56% from 69% in 2018.
The high yield bond market has performed strongly this year with the low/negative interest rate environment providing a tailwind for higher yielding assets. Returns eased off in October, losing 0.35%, but have gained 0.63% so far this month and euro high yield bonds are up an attractive 9.80% year-to-date, according to ICE.
Colm Doherty is Debtwire’s Global Head of Primary Market Analysis. He is responsible for leading the production of primary market analysis and reports focused on the leveraged loan and high yield bond markets. Prior to joining Debtwire, Colm was Director of Analysis at Thomson Reuters LPC covering leveraged loans, CLOs and high yield bonds.
Colm has a B.A. in Economics & Legal Science from National University of Ireland Galway and an MSc. in Accounting & Finance from Ulster University.
Colm Doherty is Debtwire’s Global Head of Primary Market Analysis. He is responsible for leading the production of primary market analysis and reports focused on the leveraged loan and high yield bond markets. Prior to joining Debtwire, Colm was Director of Analysis at Thomson Reuters LPC covering leveraged loans, CLOs and high yield bonds.
Colm has a B.A. in Economics & Legal Science from National University of Ireland Galway and an MSc. in Accounting & Finance from Ulster University.
Get these unique insights and more with Debtwire
Debtwire gives fixed income professionals an edge in leveraged finance, distressed debt and direct lending.
An error occurred trying to play the stream. Please reload the page and try again.
Close
