RBC Capital Lifts Issuance Forecast on Junk Surge: Canada Credit
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Royal Bank of Canada, the top underwriter of Canadian corporate bonds for the past decade, is predicting record issuance this year led by a surge in high-yield debt.
Bond sales in Canadian dollars will reach C$95 billion ($94 billion) this year, on pace to shatter 2006’s record C$93 billion, said Altaf Nanji, senior credit-research analyst at RBC Capital Markets in Toronto. Issuance in the first quarter, typically the busiest of the year, was C$30 billion, according to RBC data. The firm’s forecast in December was for C$92 billion, including about C$5 billion of junk sales.