Europe
Does Poland’s Economy Face Insider Threats From Its New Government?
Law & Justice (PiS), the Polish populist party that won last year’s November election, has caused concern over its economic policies for those with financial interests in the country. Plans for a forced re-denomination of Swiss franc mortgages alongside a recently introduced asset tax have fuelled fears over the health of its banking sector. Institutional independence is another worry, especially…
15 Jul 2016
PKO readies Euro-denominated covered bond sale
The mortgage unit of Poland’s largest lender is preparing to sell €500mn in covered bonds, according to a recent interview with PKO Bank Hipoteczny CEO Rafal Kozlowsk. Analysts suggests the move could be a sign of more covered bond deals to come out of some EMs.
14 Jul 2016
Emerging Europe emerges from Brexit’s wake
Although Emerging Europe was undoubtedly the most significantly affected region after the Brexit vote result sent out shockwaves globally, the region’s bond and currency markets recovered quickly.
29 Jun 2016
Ashmore: Brexit shows markets totally underestimate DM risks
The spill-over of post-Brexit market pandemonium was fairly minimal in EMs with the exception of some Eastern European countries like Poland and Hungary. But above all, recent market activity shows investors generally underestimate – and thus aren’t compensated for taking – risks in developed markets, according to a recent note from Ashmore Investment Management.
28 Jun 2016
Brexit: Time To Be Rational Not Sentimental
With markets increasingly pricing Remain in the days prior to the referendum, global equities are down sharply, matching or in some cases exceeding the dark days of 2008. Sterling is at the centre of the storm, with a nearly 10% hit against the US dollar since Thursday’s close. Not surprisingly, traditional safe havens such as government bonds in advanced economies, the Japanese yen and gold are…
24 Jun 2016
Brexit rocks the EM boat
Brexit has sent shock waves across international markets. Although emerging markets across the globe and investor sentiment are suffering in the wake of the vote, some economies coping better than others, and overall the implications of the UK’s vote to leave could soon subside. However, future referendums across other EU member states could have serious implications for Eastern European EMs in…
24 Jun 2016
European currencies stable despite Brexit woes
Although a Brexit vote will affect the global markets, the CEE region and in particularly the UK’s larger trading partners within the region such as Poland will be most heavily impacted. However, although concerns over Brexit have caused fluctuations within these markets’ currencies, they have remained relatively resilient over the course of the last month.
21 Jun 2016
Brexit, not Fed, a concern for Europe’s emerging markets
Although emerging markets like Turkey reacted positively on expectations that the US Federal Reserve is unlikely to raise rates this month, many EMs have already factored in such risk and only a higher frequency of hikes would likely affect them. The larger threat to European EMs is the risk of Brexit, which is already weighing on countries such as Poland, and could lead to a much larger fallout.
6 Jun 2016
China’s ZGH prints US$400mn offshore green bond
China’s ZGH has issued a green bond with an SBLC likely designed to attract strong investor demand.
23 May 2016
An investment exit on Brexit?
Although the possibility of Brexit looms above the financial community, the impact of such an event is unlikely to significantly alter the investment strategies of large British institutional investors as Central and Eastern European investment levels are low.
23 May 2016