IOSCO research publishes paper on corporate bond markets
15 April 2014
IOSCO's Staff Working Paper "Corporate Bond Markets: A Global Perspective": findings from an in-depth study on the development and functioning of corporate bond markets globally.
The main findings of the report can be summarised in the following key messages:
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Corporate bond markets are growing in terms of size and importance to the real economy, and are extending their global nature.
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Since the onset of the crisis, corporate bond markets are beginning to fill a gap left by bank and long-term/infrastructure financing, and are showing potential for servicing small medium enterprises (SMEs).
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These trends are in part fuelled by a search for yield. A changing interest rate environment may modify bond risks and raise new investor protection issues, especially from a retail investor perspective.
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Meanwhile, secondary markets are evolving to accommodate a new economic and regulatory environment. Understanding this change is key to identifying both potential systemic risks and opportunities to develop these markets.
This staff working paper is the first in a three volume series. As Volume I, it provides a view of how global corporate bond markets have changed, comparing developed and emerging markets. Volume II (emerging markets) and Volume III (developed markets) will provide more granular country-by-country data and analysis, in recognition of the diversity within the different regions.
Press release
Full Working Paper
© IOSCO
