One curiously dormant asset class so far this year has been convertible bonds. The second quarter of 2020, when companies rushed to market to raise funds in whatever form they could, saw bumper volumes of nearly $65 billion globally.
Vol up, rates rising: for convertible bonds, what’s not to like?
Despite stock volatility rising from recent lows, and the interest rate picture changing as central banks tackle inflation, convertible bond issuance in 2022 has been very slow. What needs to happen for that to change?
