You are here

Why investors are paying borrowers

Owners of negative-yield sovereign debt say they're no fools
Wednesday, January 28, 2015 - 05:50

BT_20150128_NEGATIVE28_1481981.jpg
As benchmark yields in 25 developed nations have fallen this year, the ECB is trying to avert a deflationary spiral in a region that's been hobbled by a sovereign debt crisis and two recessions since 2008.

MIKE Amey never thought he'd buy bonds from countries like Germany and Switzerland, when losses were all but guaranteed.

Then again, these are hardly normal times in the bond market. Europe faces a prolonged bout of deflation and signs abound that global growth is weakening as oil

sentifi.com

Market voices on:

Nespresso
Pair your daily business read with the perfect cup of espresso.

Subscribe to The Business Times today to receive your very own Nespresso Inissia coffee machine worth $188.

Find out more at btsub.sg/btdeal

Powered by GET.comGetCom