Skip to content
Subscriber Only

Aviva to Norway Await EU Clarity as Bonds Slide: Russia Credit

The prospect that Russia’s state banks will be shut out of European bond markets is prompting some of the region’s biggest money managers to reassess their holdings, as it drives up borrowing costs at the lenders.

The yield on VTB Group’s dollar-denominated perpetual bonds jumped 36 basis points to 10.04 percent, taking the increase since the U.S. announced fresh Russian sanctions last week to 95 basis points. OAO Sberbank’s November 2019 euro security climbed 28 basis points to 4.57 percent, the highest since being sold last month.