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Limited downside risks for bonds, but look out for perps with upcoming call dates: analysts

Uma Devi
Uma Devi • 4 min read
Limited downside risks for bonds, but look out for perps with upcoming call dates: analysts
OCBC analyst Andrew Wong is advising investors to look for names with established market positions and solid access to external capital. He is also calling for investors to refrain from looking at options with high yields.
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SINGAPORE (June 4): Given the massive selloff of perpetual bonds earlier in March, analysts believe the bonds market has limited downside as risks have been largely priced in.

“Yields have been compressed as we start to see demand for attractive risk-reward despite non-call risks,” says Phillip Capital credit analyst Timothy Ang.

The way Ang sees it, the demand for perpetual bonds are also not at risk of weakening.

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