Swedish fund nears public listing after big gains on CLO and tranche trades
Stockholm-based Ymer SC is moving forward with plans to list its structured credit fund on the Nordic Growth Market exchange in Sweden

First movers in focus for CDS as market grinds to new tights
First is the operative word in corporate credit movers this week, with UK transport firm Firstgroup leading European CDS improvers while FirstEnergy Corp heads the worst performers in the US

DC sets Wirecard CDS auction date, obligations and settlement terms
The Determinations Committee for Europe, Middle East and Africa has set a date to settle CDS contracts referencing German digital payments company Wirecard

Europe hits post-covid tights on hard-fought recovery package deal
European credit spreads are hitting their tightest prints since the coronavirus outbreak began, with European Union leaders having agreed a €750 billion recovery package following protracted talks

Former JP Morgan credit correlation head launches $200 million fund
The former head of credit correlation trading at JP Morgan has launched a global credit fund management business with $200 million of assets, according to market sources

Wirecard CDS auction set to have two deliverables
Two notes look set to be deliverable into an auction to settle Wirecard CDS, according to an initial list published by the EMEA Determinations Committee

Shot in the arm for US credit as vaccine results prompt outperformance
US credit markets have gained a chance to catch up with European improvement this week, after positive results from a coronavirus vaccine test prompted US outperformance, particularly in high yield

Credit Rendezvous: record fiscal stimulus provides pick-me-up
Credit markets had a mini bounce-back in the second quarter as central banks poured cash into the economy. But there is great uncertainty about the effects of a second wave of coronavirus. As part of our quarterly report on credit - the Credit Rendezvous - Creditflux spoke to experts across 12 segments of the credit market

Atlantia enters fast lane in market rally
Atlantia, the Italian infrastructure company, is one of today's biggest movers in the credit market, on reports of progress in its wrangle with the Italian government over a toll road concession as well as plans to sell this business arm

US/Europe gap widens as states roll back reopening plans
Decoupling of US and European performance is the stand-out feature of credit this week, in which fears of a pandemic second wave and further US/China wrangles hold market improvement in check

Wirecard splits DC on auction vote
Wirecard has caused a split at the Determinations Committee, whose members only narrowly reached a supermajority vote to hold a credit even auction for the German digital payments company

Selecta Group CDS gets caffeine jitters
Against a general rallying trend in the European high yield market, Swiss coffee machine vendor Selecta Group is a big widener today in five-year CDS - even as its bonds and shorter tenor protection show much more stability

Europe leads opening rally, with Asian boost to autos, banks and commodity traders
A bullish tone in Asia around the economic recovery from the coronavirus pandemic has carried over into the rest of the credit market at the start of the week, taking European spreads tighter and pointing to a solid opening for the US after its long weekend

Candriam agrees deal for Rothschild's European fund of fund business
Candriam has bought Rothschild’s “multi-management” business, representing €350 million of assets

Europe outshines US despite caution on inflows and second wave
A week characterised by lower volatility and awash with returning European high yield issuance is ending on a cautious tone, with the US market on holiday and 'second wave' covid concerns bringing a pause to the credit rally

Curves and skews come back into play as CDS volumes swell
The rapid growth of the CDS market during the coronavirus pandemic has been consolidated in the second quarter, with investors putting on trades not seen in such volume since the 2008 financial crisis.

High yield borrowers face pressure over social data
Two major themes of the credit market in 2020 are on a collision course: high yield issuers playing catch-up after a dearth of issuance and the Black Lives Matter movement putting the focus on the S of ESG investing

Governance has greatest impact on short-term changes in company valuation out of ESG factors, finds MSCI
Governance has more impact than environmental and social factors on company financial fundamentals and stock price in the short term, but ‘E’ and ‘S’ play their part over the long term, according to analysis from MSCI

Fund performance: CLO funds keep up the momentum for second month running
May returns have been led by continued momentum from CLO funds. In the last month, funds that invest in CLO notes in some capacity have made up 90% of our top 10, while 97% of funds listed generated positive returns - an improvement of 15% on last month's figures.

Credit funds at a glance (July 2020)
A round-up of fundraising and people moves

Ucits at a glance: Ucits recover lost ground
The foot has come off the gas for many funds - 57% of funds did not break the 2% return barrier.

Index tranche volumes go into overdrive as CSOs stall
CDS index tranche trading has gathered pace during the coronavirus pandemic, putting the asset class on course for a post-2008 crisis record.

European ESG index kicks off 10bp tighter than parent index
A new version of the iTraxx Europe index screened for environmental, social and governance standards began trading three months after its intended roll-out was delayed by coronavirus volatility

Managers prepare for new habits in post-lockdown world
A new world beckons as lockdown measures gradually loosen; one in which consumer behaviour has changed and credit investing will have to adjust. But it won’t be as easy as compartmentalising investments into ‘covid sectors’ and ‘non-covid sectors’.