May 1, 2012
by Mariana Santibáñez
Global volatility has not gone away. However, the longer it persists in the background, the more LatAm assets appear to have learned to ignore it and get on with things. Better news from Europe and the US was also helping at the beginning of the year, and there were signs of bulls emerging on the buy and sell sides.
Bucking the pessimism that characterized the second half of 2011, LatAm borrowers issued $43.2 billion in international bonds during the first quarter, up 41% on the same period in 2011, according to Dealogic. LatAm’s total comes out of an EM total of $139.0 billion in the first quarter, which was also up 41% from the corresponding period in 2011.
Positive sentiment returns and investors should be spoiled for choice. With uncertainties ahead, however, selectivity is the message from top bond managers.