Still time for permabears to join Aussie home-loan party

Sydney

SOME foreign investors who missed out on lucrative returns because they avoided Australia's residential mortgage-backed securities (RMBS) for fear of a bursting property bubble are changing their view and considering investing in Australian debt.

"Investors were less negative on the Australian economy than was the case in September when we last marketed offshore," said Ivan Colhoun, chief economist at National Australia Bank (NAB), who visited North American clients earlier this month.