If Thames Water is preparing for “huge” debt restructuring, is Southern Water going to be next?
Lloyd Harris, Premier Miton’s Head of Fixed Income, considers potential members of “the inauspicious club of over-levered UK water companies to heap losses on bondholders”.
50bps and the bond curve…
The Federal Reserve opened their rate cutting cycle with a sizeable 50bps at the last meeting, which before the planted articles in the FT and the WSJ, had been deemed a relatively remote possibility (after the plants far less so!).
Thames Water and the Temple of Doom
Being invested in Thames Water bonds must be just like being Indiana Jones getting chased by the torrent of water in the Temple of Doom – a rollercoaster ride.
Cocos – a unique flavour combination
High yields with investment grade security mean contingent convertibles can offer investors a unique opportunity in today’s higher interest rate environment – if you have access to expert analysis and execution.
H2Uh-Oh: The Thames Water Saga
It is difficult to open a newspaper recently and not find an article about the much-maligned situation at Thames Water. The company are unlikely to be the next sponsors of the Oxford Rowing crew to be sure. However, it is worth pointing out the back story, how we got here, and explore potential outcomes:
Honey, I shrunk the banks. The case for bank credit over equity
It’s been a really great couple of years for the banking sector – after a decade or more of zero interest policy when every year that went by bank margins fell, suddenly banks have lots of margin to play with as interest rates have risen to more normalised levels.
It’s bond trading, but not as we know it Jim…
If someone had told me the US government would have been denying the shooting down of extra- terrestrials at the start of the year, I would have laughed at them in disbelief!
That’s Asda price
You can almost hear the gasps of those who have recently looked to refinance their mortgages, shocked about the increase in monthly payments they are having to make.
I’m getting 5, 6, 7% in fixed income, at my age I don’t need much else
Somebody said this to me recently and it got me thinking. What is the age of the typical investor and what exactly are they looking for?
A less stressful time
Last week saw the release of the long-awaited bank stress tests for the UK banking system. This is the first ‘normal’ test following the Covid pandemic and the delay caused by the Russian invasion of Ukraine.