Goldman Says South Korea Ever Closer to Joining Major Bond Index
- FTSE index entry may happen in September if key hurdle cleared
- As much as $60 billion of inflows may follow index inclusion
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South Korea will likely enter a key global bond index in September if it achieves a breakthrough in expanding foreign investors’ access to its government debt next month, according to Goldman Sachs Group Inc.
Local media reports that Euroclear Bank SA and Clearstream will allow foreign investors to trade Korean sovereign securities from June suggest that the most important remaining key issue for the nation’s inclusion into the World Government Bond Index run by FTSE Russell should be resolved, Goldman analysts led by Danny Suwanapruti wrote in a note.