The derivatives markets continue their sharp growth trajectory, led by a credit derivatives sector that has brushed off the dual threats of rock bottom spreads and processing strains.
Syndicated Loans 2006
Things really do not get any better this. M&A has returned in full force, the global leveraged finance boom has continued and deals in the exciting new structured finance sector abound. Even the tightly priced refinancings that have dominated the market in recent years have become a distant memory, at least outside of the US. Profitable deals have finally returned as a market mainstay. In short, 2006 is the year that loan bankers have been waiting for.
Equity Capital Markets 2006
Despite a painful market correction in May this year, the outlook for global equities has remained generally positive. The explosion of merger and acquisition activity has had a significant impact on issuance, both in the areas of straight equity and equity-linked.
We wrote in our last special report on India a year ago that regulatory reform would be the key to holding on to the development the country’s capital markets have enjoyed over the past few years.
Banks continue to dedicate more resources to the securitisation business, but there is a sense that the industry is reaching a new stage in its development. In place of the all-out growth of earlier years, it is becoming more important for both the buy and sell sides to distinguish between the different segments of the asset class.
Top 250 Borrowers 2006
Have the benign technical and fundamental conditions that had given borrowers such a tremendous funding advantage in international bank and credit markets for the past five years finally come to an end? Or will the market sell-off of the past few weeks be seen in the same light as the severe market correction of May 2005 – just a blip in an otherwise unblemished credit bull market?
Middle East 2006
Welcome to the first joint Project Finance International (PFI) and International Financing Review (IFR) Middle East Report, a review of the GCC capital markets published by Thomson Financial, the parent company of PFI and IFR.
Pfandbriefe/Covered Bonds 2006
Spain continued to dominate covered bond supply, taking 43% of last year's total of €130bn. This year, Spanish issuers of cedulas are likely to bring €60bn to market, more than double their next biggest rival, German pfandbrief. While growth is likely to slow from the blistering 25%-30% levels seen in recent years, at 15%-20% from 2006 onwards, Spain is likely to remain a key jurisdiction alongside Germany.
IMF/World Bank 2006
So long a lender, the IMF is preparing to change tack and embark on a new role – that of surveillance monitor and adviser. The IMF has lost a lot of relevance for investors because it has become an outsider.
Central and Eastern Europe 2006
Central and Eastern European financial markets have benefited from the combination of accession-driven convergence towards global markets and a host of successful structural reform programmes in the major and second-tier countries of the former Eastern bloc.
Debt Capital Markets 2006
To anyone predicting a fall-off in issuance volumes and general spread widening in the wake of the GM/Ford sagas of last year, the market's resilience will have come as something of a surprise.
The combination of stable government and an improving economy continues to keep Turkey on the right path. But as the country definitively emerges from the dynamics of crisis economics and with elections in the offing, what comes next?
Germany stands at an interesting juncture. Chancellor Angela Merkel has impressed with her time in office so far, but the honeymoon is over and she now needs to tackle pressing economic reforms that will once again put Germany on a growth trajectory and reduce unemployment levels of close to four million. Business confidence is slowly picking up as companies, rehabilitated after years of balance sheet restructuring and deleveraging, are looking once again at acquisition opportunities to boost output and efficiency. This has been a boon for investment bankers and lenders, who have been starved of opportunities in recent years. Given the size of the economy, Germany already provides a sizable chunk of the investment banking fee pool, but financiers are optimistic about their near-term ability to garner a share of an increased wallet.