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Julius Baer’s Laxminarayan: Market sentiment may outweigh fundamentals in Asian HY

Despite high yield spread hitting near-term highs and the Asian high yield market appearing more attractive, Julius Baer believes market sentiment and supply may outweigh fundamentals in the asset class. “Both China and Asian high yield spread has widened to multi-year highs, priced-in a potential spike in default rates in near term. We now believe expected return on the asset class…

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