Pimco Sees China Debt in Global Gauges by 2018 - With Caveat
- Timing will depend on addressing settlement concerns: Spajic
- Investors want more currency hedging tools, AXA says
Buildings in the Lujiazui district stand at night, seen from the bund area, in Shanghai.
Photographer: Tomohiro Ohsumi/BloombergThis article is for subscribers only.
Pacific Investment Management Co. says China’s inclusion in major global bond measures within two years will usher in an era where the nation’s financial markets are more relevant to global investors than its factories.
Luke Spajic, a Singapore-based money manager at Pimco, sees next year or 2018 as a realistic target for index compilers to add the world’s third-biggest bond market to their gauges. Still, that’ll only happen if policy makers can make progress before year-end on addressing investor concerns about settlement and currency conversion, Spajic said in an interview on Monday.