国际财务管理第7章

1、Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-0INTERNATIONALFINANCIALMANAGEMENTEUN / RESNICKSecond Edition7Chapter SevenInternational Bond MarketChapter Objective:This chapter continues discussion of international capital markets with a discussion of the

2、structure of the international bond market.Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-1Chapter OutlinelThe Worlds Bond Markets: A Statistical PerspectivelForeign Bonds and EurobondslTypes of InstrumentslCurrency Distribution, Nationality, Type of Issue

3、rlInternational Bond Market Credit RatingslEurobond Market Structure & PracticeslInternational Bond Market IndicesIrwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-2The Worlds Bond MarketslA statistical perspective:lThe total market value of the worlds bond m

4、arkets are about 50% larger than the worlds equity markets.lMost issues are denominated in U.S. dollars, Japanese Yen are second, followed by Deutchmarks in a distant third.Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-3A Statistical Perspective: Domestic

5、 International Total $ 47.8% 45.1% 47.5% 18.0% 11.7% 17.2% DM 7.0% 10.3% 7.4% Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-4Foreign Bonds and EurobondslBearer Bonds and Registered BondslNational Security RegistrationslWithholding TaxeslRecent Regulatory

6、ChangeslGlobal BondsIrwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-5Bearer Bonds and Registered BondslBearer Bonds are bonds with no registered owner. As such they offer anonymity but they also offer the same risk of loss as currency.lRegistered Bonds: the

7、 owners name is registered with the issuer.lU.S. security laws require Yankee bonds sold to U.S. citizens to be registered.Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-6National Security RegistrationslYankee bonds must meet the requirements of the SEC, j

8、ust like U.S. domestic bonds.lMany borrowers find this level of regulation burdensome and prefer to raise U.S. dollars in the Eurobond market.lEurobonds sold in the primary market in the United States may not be sold to U.S. citizens.lOf course, a U.S. citizen could buy a Eurobond on the secondary m

9、arket.Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-7Withholding TaxeslPrior to 1984, the United States required a 30 percent withholding tax on interest paid to nonresidents who held U.S. government or U.S. corporate bonds.lThe repeal of this tax led to

10、a substantial shift in the relative yields on U.S. government and Eurodollar bonds.lThis lends credence to the notion that market participants react to tax code changes.Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-8Recent Regulatory ChangeslShelf Registr

11、ation (SEC Rule 415)nAllows the issuer to preregister a securities issue, and then offer the securities when the financing is actually needed.lSEC Rule 144A nAllows qualified institutional investors to trade private placements.nThese issues do not have to meet the strict information disclosure requi

12、rements of publicly traded issues.Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-9Global BondslA global bond is a very large international bond offering by a single borrower that is simultaneously sold in North America, Europe and Asia.lMostly institutiona

13、l investors are the purchasers so far.lSEC Rule 415 and 144A have likely facilitated global bond offerings, and more can be expected in the future.Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-10Types of InstrumentslStraight Fixed Rate DebtlFloating-Rate

14、NoteslEquity-Related BondslZero Coupon BondslDual-Currency Bonds lComposite Currency BondsIrwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-11Straight Fixed Rate DebtlThese are “plain vanilla” bonds with a specified coupon rate and maturity and no options att

15、ached.lSince most Eurobonds are bearer bonds, coupon dates tend to be annual rather than semi-annual.lThe vast majority of new international bond offerings are straight fixed-rate issues.Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-12Floating-Rate Notesl

16、Just like an adjustable rate mortgage.lCommon reference rates are 3-month and 6-month U.S. dollar LIBORlSince FRN reset every 6 or 12 months, the premium or discount is usually quite smallas long as there is no change in the default risk.Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies,

17、 Inc. All rights reserved. 7-13Equity-Related BondslConvertiblesnConvertible bonds allow the holder to surrender his bond in exchange for a specified number of shares in the firm of the issuer.lBonds with equity warrantsnThese bonds allow the holder to keep his bond but still buy a specified number

18、of shares in the firm of the issuer at a specified price.Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-14Zero Coupon BondslZeros are sold at a large discount from face value because there is no cash flow until maturity.lIn the U.S., investors in zeros owe

19、 taxes on the “imputed income” represented by the increase in present value each year, while in Japan, the gain is a tax-free capital gain.lPricing is very straightforward:TrPARPV)1 ( Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-15Dual-Currency BondslA s

20、traight fixed-rate bond, with interest paid in one currency, and principal in another currency.lJapanese firms have been big issuers with coupons in yen and principal in dollars.lGood option for a MNC financing a foreign subsidiary.Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc.

21、All rights reserved. 7-16Composite Currency BondslDenominated in a currency basket, like the SDRs or ECUs instead of a single currency.lOften called currency cocktail bonds.lTypically straight fixed rate debt.Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-

22、17InstrumentStraight Fixed-RateFloating Rate NoteConvertible BondAnnualFixedCurrency of issue or conversion to equity shares.Straight fixed rate with equity warrantsAnnualFixedCurrency of issue plus conversion to equity shares.ZerononezeroCurrency of issueDual Currency BondAnnualFixedDual currencyCo

23、mposite Currency BondAnnualFixedComposite currency of issueFrequency of PaymentAnnualSize of CouponPayoff at MaturityCharacteristics of International Bond Market InstrumentsCurrency of issueFixedEvery 3 or 6 monthsVariableCurrency of issueIrwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies

24、, Inc. All rights reserved. 7-18Currency Distribution of International Bond OfferingsCurrency1997U.S. dollar45%Deutsche mark16.8Yen4.5Pound Sterling8.9Swiss franc 2.6Italian lira5.4French franc6.4Other10.4Total100Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved

25、. 7-19Distribution of International Bond Offerings by NationalityNationality1997 (U.S. $b)Australia13.4Canada22.8France43.6Germany152.1Italy16.1Japan41.6Sweden15.4United Kingdom52.2United States189.3Other OECD countries170.6Non-OECD countries85.9International Development Organizations28.9Total831.6I

26、rwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-20Distribution of International Bond Offerings by Type of Issuer Type of Issuer1997(U.S. $ Billion)Governments97.5Public enterprises83.6Banks293.0Private organizations301.2International organizations56.3Total83

27、1.6 Irwin/McGraw-Hill Copyright 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 7-21International Bond Market Credit RatingslFitch IBCA, Moodys and Standard & Poors sell credit rating analysis.lFocus on default risk, not exchange rate risk.lAssessing sovereign debt focuses on political risk and economic risk.Irwin/