The Credit Edge by Bloomberg Intelligence Goldman’s Jonny Fine Sees Bond Issuance Rush Extending
Oct 24, 2024
Jonny Fine, the Global Head of Investment Grade Debt at Goldman Sachs, discusses the anticipated surge in high-grade US corporate bond issuance in 2025, fueled by economic growth and refinancing needs. He elaborates on the role of private credit and its impact on traditional financing, as well as the expected dynamics from regulatory changes. Fine and his co-hosts explore how infrastructure finance and increasing M&A activity will contribute to market momentum, alongside the influence of rising interest rates on consumer behavior and capital markets.
AI Snips
Chapters
Transcript
Episode notes
The Rush in Bond Issuance
- Jonny Fine explained why there has been a rush of corporate bond issuance.
- He highlighted de-risking ahead of elections and a sharply inverted yield curve.
Pull Forward or Real Growth?
- Arnold Kakuda asked if the high issuance is a pull forward from next year.
- Fine clarifies that while some was pulled forward, real growth and activity also contributed.
M&A and Financing
- Kakuda and Fine discussed the role of M&A financing in the current market.
- Fine explains that M&A activity has been stable in the Investment Grade space.