What flutters like a BB, buzzes like a BB, and stings like a BB, yet trades like a B The ROP papers, otherwise known as the sovereign bonds of the Republic of the Philippines.
ôWhy do bonds that we think are of high BB credit quality trade in the high four hundred basis point range, a level more suitable to bonds rated low BB or high single-Bö asks Stephen Taran, the New York-based global head of sovereign credit research at Salomon Smith Barney.
That ROP 10-year papers are trading at spreads of treasuries plus 525 basis points and this is the anomaly in question.
On the other hand, a voice...
