U.S. Federal Reserve Chairman Ben S. Bernanke’s unprecedented stimulus to spur economic growth has decreased the difference between yields of corporate and government securities to the least since 2007.
Corporate bond sales are approaching the fastest pace on record as central bank stimulus from the U.S. to Japan and Europe stokes demand and prompts economists to scale back forecasts for interest-rate increases.
Morgan Stanley’s reputation as Wall Street’s weakest link is diminishing in debt markets as Chief Executive Officer James Gorman’s bet on a brokerage unit that has amassed $1.78 trillion in client assets starts to pay off.
Derivatives that pool credit- default swaps to make magnified bets on corporate debt, popularized in the last credit bubble, are making a comeback as investors search farther afield for alternatives to bonds at record-low yields.
Sun TV Network Ltd. and SpiceJet Ltd. , companies controlled by the Maran family, plunged on report India’s federal investigator is probing an investment by Malaysia’s Maxis Group into a business run by the Marans.
Western Asset Management Co. and Janus Capital Group Inc. are in preliminary discussions with Bonds.com Group Inc. to use the electronic trading service as they seek alternatives to dealers with shrinking inventories.
BlueMountain Capital Management LLC and Saba Capital Management LP are leading investors into the debt market’s darker corners to boost returns, buying securities from collateralized loan obligations to bonds that seldom trade.
Pacific Investment Management Co. and BlackRock Inc. are among U.S. investors buying up bank bonds in Europe’s most indebted nations as central-bank chief Mario Draghi wins back the confidence of the world’s biggest money managers.