A monthly review and outlook of the Asian Quality Bond market.

Key highlights - as at February 2016 


  • Collapse in oil price, global recession fears and concern over the renminbi’s devaluation continued to weigh on the market the way they did in January, before market sentiment showed some signs of stabilisation towards the end of the month.
  • Total return for both investment grade and high yield were largely in line at around 0.6%. Spread returns were mixed. Macau, Bangladesh, Indonesia and Vietnam returned positive while Mongolia and Thailand spreads detracted value.
  • Challenging times are ahead for Asia though we see some bright spots. Reforms in China, India and Singapore are long-term positive despite the near-term growth uncertainty.
  • Longer-term growth prospects in Asia remain intact and return from local currency bonds especially the high yield Indonesia and India will likely outperform those of developed market if investors are able to take a longer-term view and ride out the current volatility.




    Please click "Download PDF" for full article.