Kangaroo bonds' issuance surges amid record-low yields

Bengaluru, India

GLOBAL investors are fuelling a surge in Kangaroo bond issuance, turning to Australia in search of an alternative to record-low yields - especially after the shock of Britain's vote to leave the European Union.

Kangaroo bond issuance of US$7.2 billion in the second quarter of 2016 was 22 per cent higher over the year and the largest volume in the last five quarters, according to Thomson Reuters data.

Apple Inc and Coca-Cola Co were among the biggest corporate borrowers in this market, issuin…