As a result of increasing investor interest in monitoring the performance of Asian dollar bonds eligible under Hong Kongs mandatory provident fund MPF program, JPMorgans credit research team has created a new index that will help them do just that.
The index, called MPF JACI, tracks on a daily basis how well eligible bonds from China, Hong Kong, Korea, Malaysia and Singapore are faring in the markets.
To qualify for inclusion the bonds have to be rated at least BBB by Standard Poors or Baa2 by Moodys Investors Service, in accordance with the HKMPF Authoritys guidelines on credit quality.
Aside from the credit rating, the transactions included...
