Transparency Push Eyes a Bastion of Asia Bond-Market Secrecy
- Non-transparent allocation practices fuel investor angst
- Investors suspect some lead managers behind chunk of bids
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The rapid expansion of Asia’s dollar-bond market in recent years has spurred plenty of gripes among international investors, from lack of documentation about issuers to the dominant presence of Chinese buyers.
Now, at least on one score, they have an ally in a major international trade group. An Asian committee of the International Capital Market Association last month encouraged lead managers to disclose their own orders for bond sales they’re overseeing, according to people familiar with the matter. While the group didn’t agree on specific rules, the discussion at a May 3 gathering reflected angst about the issue among investors.