Credit traders’ kickstand: it’s a tough time to go short
Credit derivative indices are ending the week back at very tight levels, with a re-convergence of spreads, with little appetite to bet against presumed central bank dovishness or the upcoming CDS rolls in September

Credit traders' kickstand: Basis and CDS curves take focus with long wait ahead for central bank direction
With almost a month to wait before the European Central Bank and US Federal Reserve hold their next decisive meetings, a bumpier and seemingly directionless road continues in credit markets as investors show little inclination to do anything more adventurous than just hold on tight

Cambridge University appoints CIO
The University of Cambridge has named a CIO who previously served at instutituions such as the BBC and Virgin  

Buy iTraxx Europe equity tranche risk but sell Crossover mezz, says JP Morgan
Investors should stick with ‘search for yield’ ideas in investment grade credit, say JP Morgan credit strategists, including selling iTraxx Europe 0-3% equity tranches delta hedged, going long the 10-year Europe index, and selling credit volatility through index options while buying equity market volatility

Credit traders' kickstand: volatility puts paid to primary, but pays out for relative value buyers
The persistence of credit market choppiness has brought into focus CDS/bond basis plays, options positioning, high yield dispersion and peripheral European weakness - but mainly the volatility rash has put a block on borrowers' primary market aspirations

Lombard Odier expands sustainability team
Lombard Odier has bolstered its sustainability capabilities with the appointments of Christopher Kaminker and Ebba Lepage  

Galapagos CDS settles higher than expected despite net interest to sell
Galapagos Holdings CDS settled at a price that, while low, was nonetheless higher than had been implied by initial markets despite a net open interest among participating dealers to sell the company’s bonds

Galapagos CDS auction kicks off with very low initial market midpoint
Bidding in a credit event auction today to settle Galapagos Holdings CDS has produced a very low initial market midpoint, suggesting there will be a high final pay-out to holders of protection

Galapagos CDS auction looms with Morgan Stanley added to participating bidders
A credit event auction tomorrow to settle Galapagos Holdings CDS will have 10 participating bidders, with Morgan Stanley having been approved by other dealers to take part

UK pension pool launches multi-asset credit search
Border to Coast, a £46 billion ($56.8 billion) partnership between 12 UK pension plans, is seeking for a core multi asset credit manager, for its recently opened multi asset credit fund  

New EC fund rules could lead to ‘pre-pre-marketing’
The European Commission has approved a standardised concept of ‘pre-marketing’ in a move that could see more capital flow through the European Economic Area. The new definition of pre-marketing is meant to provide clarity, but some sources say that the amendments could be seen as an additional burden and lead to a concept of pre-pre-marketing.

Flat curves and decompression make waves below the surface
Hopes of using the summer slowdown to get to the beach may be tempered for credit relative value traders, where opportunities abound behind the uninspiring benchmark numbers of the slow market grind.

Net short language could force lenders to sell at a loss
Signs are growing that ‘net short’ provisions in bonds and loans are getting closer to hitting CDS investors, with two instances in recent weeks of the language expanding both in geographical and functional remit.

Back to basis (and skew) as relative value plays catch-up
Basis trades between bonds and CDS failed to gain traction during July as synthetic markets held ground or improved their position versus cash, but this is beginning to change, say market participants.

Ucits at a glance: Amundi and Loomis Sayles funds register big gains in H1

Galapagos CDS auction date set
Settlement of Galapagos Holdings CDS will take place on Wednesday next week (7 August), the auction’s administrator Creditex has said

Credit plays a big part as KKR increases AUM by $6.5 billion
KKR grew its assets under management by 8% over the second quarter, according to the firm’s earnings call, which took place on Thursday.

Goldman Sachs creates sustainable finance group
Goldman Sachs has launched a sustainable finance group, to deliver sustainable growth solutions to the bank’s clients, according to documents seen by Creditflux.  

Galapagos CDS set for high pay-out with one deliverable on initial list
Galapagos Holdings could have only the bond on which it defaulted as a deliverable obligation into an auction to settle its CDS

Credit traders' kickstand: tighter and tighter we go, as outlook gets 'worse and worse'
It’s a strange world, where the president of the European Central Bank can say the economic outlook is “getting worse and worse” as credit markets surge into new territories of tightness

Dutch development bank creates ESG and impact standing committee
The Netherlands Development Finance Company (FMO) has created a standing committee for impact and environmental, social and governance investing

Allen & Overy brings in three from Dechert to boost funds practice in Paris
Allen & Overy has announced a trio of appointments from Dechert to its Paris office

Italian pension fund looks to build its exposure to bonds
Mediafond has launched a request for proposals in which it seeks out a manager to oversee a bond portfolio

Galapagos has triggered failure-to-pay credit event, says DC
Galapagos Holdings has triggered a failure-to-pay credit event on its 7% senior notes due 2022, the Credit Derivatives Determinations Committee has ruled unanimously

GSO adds $10 billion to inflows with direct lending, structured credit and energy
Blackstone grew its credit assets under management to $139.3 billion, up 13% on a year ago, according to the firm's second quarter earnings release