Welcome to the first edition of our Capital Markets: Insight series – our view on the important topics and trends affecting the debt capital markets.
In this briefing, we take a look at the basics of “Reverse Yankees” – when and why they might be an attractive funding choice and the documentary options for coming to market.
WHAT IS A REVERSE YANKEE?
- A bond issued by a US issuer outside of the US and denominated in a currency other than US dollars (typically, euro or sterling).
- Issuers tend to be, but are not exclusively, higher rated credits.
- The market is large and has grown over the past 10 years, albeit not always consistently.
- In the euro corporate market, US borrowers accounted for €52bn of issuance in 2021 or just over 17% of overall supply.
Read more here.