The Bond Investors Congress

Our second webcast came directly from Euromoney's Bond Investors Congress in London. To view any of the conference sessions from day one please visit:  http://www.euromoneyconferences.com/onlinechannel/

Sessions available to view:
Panel I: The Sovereign Debt Crisis
Workshop A: How Should Investors Look at the Inflation Bond Market? Hosted by J.P. Morgan
Workshop B: Covered Bonds Hosted by The Royal Bank of Scotland
Panel IV: The Crisis of Central Banking
Interview with Sean Egan, Founding Principal and Managing Director, Egan-Jones Ratings Company
Workshop C: Corporate Credit Market Outlook for 2012. Hosted by Morningstar
Panel VII: Refinancing the Banking Sector
Panel VIII: Sovereign Borrowers
Plus
Online Exclusive: Interview with Robert Stheeman

Presentations available to download:
iShares workshop: The Growth for Fixed Income Exchange Traded Funds
J.P. Morgan workshop: How Should Investors Look at the Inflation Bond Market?
RBS workshop: Covered Bonds

Fixed income investors are in uncharted territory, according to panellists at Euromoney’s annual Bond Investors Congress, held in London on 28 and 29 February. Unorthodox monetary policy, rock bottom rates on core government debt and heightened levels of sovereign risk have combined with the introduction of ‘bail-in’ language to make bond buyers tear up their old models.

Over 500 market participants from 38 countries gathered against a febrile background. Hopes that Greece had struck a viable debt deal with the EU/ECB/IMF troika had pushed bond and stock markets up in preceding days. On the second day of the conference the ECB announced the results of its second refinancing operation; the liquidity unleashed in the Eurozone banking sector from the first tranche had helped underpin peripheral government bond markets.

A take-up of the second tranche largely in line with market expectations was widely seen as a positive.

But the day before the conference Standard & Poor’s had placed Greece in ‘selective default’ on the back of its actions to herd reluctant bond buyers in to its debt rescheduling. Add to the fact the ECB had managed to make its bonds senior to those held by the private sector – a status also gained by the European ‘firewall’ mechanisms – and fund managers found themselves in a world of pain.
 
Panellists overwhelmingly argued that the most recent Greece bailout would not be the last. That was a view that permeated the event. Asked whether they thought that the second Greek bailout would solve the issue, not one of the audience raised their hands.
 
This might be the end of the great bull run in bonds.
 
Asked what credit issue he was focusing on in the months ahead, Sean Egan, managing director of rating agency Egan-Jones, replied: “The recapitalization of the ECB”.

Speakers at the 2012 Congress included: 
Christopher Aldous, Chief Executive Officer, Evercore Pan-Asset Capital Management
Kevin Anderson, Senior Managing Director and Global Chief Investment Officer, Fixed Income and Currency, State Street Global Advisors
Kerry Brown, Head, Asia Programme, Chatham House
Peter Doherty, Partner and Chief Investment Officer, Tideway Investment Partners
Enoch Fung, Adviser, Market Development Division, Hong Kong Monetary Authority
Ignacio Fernández-Palomero Morales, Deputy Head of the Treasury, Head of Funding and Debt Management, Ministry of Economy and Finance, Spain
Gerard Lyons, Chief Economist and Group Head of Global Research, Standard Chartered
Philippe Mills, Chief Executive, Agence France Trésor
Fred Pietrangeli, Deputy Director of the Office of Debt Management, US Treasury
Andrew Sentance, Senior Economic Adviser, PricewaterhouseCoopers
Robert Stheeman, Chief Executive, UK Debt Management Office
Neil Williams, Chief Economist, Global Government & Inflation Bonds, Hermes Fund Managers

View the final agenda. 

For information regarding speaking opportunities in 2013 please email Ruth Beddows: rbeddows@euromoneyplc.com. For sponsorship opportunities please contact Mishal Karia on +44 207 779 8179 or email mkaria@euromoneyplc.com



Tue 28 - Wed 29 Feb 2012

The Brewery, London