Reported 9 months ago
Due to the central bank's interest rate hike in March and the aggressive issuance of subordinated bonds by life insurers, the issuance of general corporate bonds in the first half of the year dropped below 300 billion NTD to 299.29 billion NTD, a decrease of 17.1% compared to the same period last year. Despite a rise in overall corporate bond issuance during this period, excluding subordinated bonds, the issuance of general corporate bonds saw a significant decline. The market is reacting to expectations of further interest rate hikes, leading to a preference for higher rates, especially in light of attractive rates offered by subordinated bonds issued by life insurers.
Source: YAHOO