Future superannuation developments likely to be positive for fixed income
The ageing demographic of superannuation scheme members and regulatory changes to the overall system could have a beneficial impact on the flow of assets into fixed income, according to the author of Mercer's recently-published checklist for superannuation trustees and fund providers. However, there may need to be further government intervention to promote the type of products required by retirees seeking stable income.Rentenbank adds A$450 million to 2017 Kangaroo [UPDATED]
Rentenbank (AAA/Aaa/AAA) priced an increase to its April 2017 Kangaroo line on February 9. The tap is Rentenbank's third Kangaroo of 2011, and its second in a week having increased its January 2016 maturity by A$175 million (US$177.4 million) on February 4. The line being increased was inaugurated in March last year, and has now been tapped four times to bring the total amount outstanding to A$1.6 billion.EDC returns to Kangaroo market with new 2016 line [UPDATED]
Export Development Canada (EDC) (AAA/Aaa/AAA) issued a new A$500 million (US$506.6 million) five-year benchmark Kangaroo bond on February 8. The transaction is EDC's third Kangaroo deal and its second point on the AUD curve. EDC debuted in the Kangaroo market in August 2010, issuing A$650 million (US$658.4 million) in an August 2015 bond which it tapped in September to bring the line's outstanding to A$1 billion.GE Capital Australia gets A$750 million in new domestic three-year [UPDATED]
GE Capital Australia (AA+/Aa2) has issued a new A$750 million (US$761 million) February 2014 dual-tranche domestic bond in advance of one of the issuer's outstanding lines falling due, on February 10. The A$500 million fixed rate tranche of the new deal priced at 110 basis points over semi-quarterly swap, while the A$250 million floating rate piece achieved a margin of 110 basis points over the three-month bank bill swap rate.Intermediary growth drives affecting top line positions and league tables
FEfforts by a number of global banks to ramp up their presence in the Australian dollar market are starting to feed through into presence on the top line of Kangaroo deals in particular. While a number of banks returned to the Kangaroo intermediary space as lead managers in 2010, the effect has been much more marked in market share terms in the first weeks of 2011.