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The GlobalCapital Podcast

Business & Economics Podcasts

A weekly podcast from GlobalCapital discussing the most interesting stories from the world’s capital markets

A weekly podcast from GlobalCapital discussing the most interesting stories from the world’s capital markets

Location:

United Kingdom

Description:

A weekly podcast from GlobalCapital discussing the most interesting stories from the world’s capital markets

Language:

English

Contact:

+44 2077797307


Episodes

Tough choices for emerging market bond issuers

5/20/2022
There is no doubt that bond markets are becoming tougher places from which to raise money. Even in the public sector bond markets, where issuers flock in times of trouble, what are typically issuers prized for their rarity are now enjoying less demand because investors have come to value highly the ability to sell out of positions easily given the volatility. But at least borrowers are getting their funding done there. In the emerging markets, which so often bear the brunt of capital...

Duration:00:37:48

The panda in the room

5/13/2022
War in Ukraine, the pandemic and the recovery from it, rampant inflation and the end of the era of cheap money — people in the capital markets have a lot to think about when allocating or raising money. But are they missing the biggest problem of all: China’s slowing economy? A growing number of market participants think so. China as a producer of goods sold to the world and a key consumer of plenty of the world’s commodities and finished goods, is an integral part of the global economy and...

Duration:00:38:54

The nature of credit markets is healing

5/6/2022
Normally when central banks make policy decisions that they were expected to, capital markets activity carries on unencumbered. But not this week. The 50bp interest rate increased from the Federal Reserve on Wednesday was long anticipated but while markets appeared to take the news well at first, by Thursday things had gone sour once more making issuance difficult. Certainly, there’s a lot to feel grim about in the economic realm — supply chain disruption, war in Ukraine, rampant inflation...

Duration:00:41:37

Supply chain disruption comes to capital markets

4/29/2022
It’s not just raw materials and components that are hard to get hold of nowadays. The European leveraged finance market is bang on trend and experiencing some supply chain disruption of its own. We explain which parts of the market are just starting to work again and which are about to seize up and how that will proliferate across other parts of the capital markets. Naturally, we also find a way to crowbar a discussion of Elon Musk’s planned purchase of Twitter into the mix and examine how...

Duration:00:49:48

Fantastic pay rises and where to find them

4/22/2022
It was just a fortnight ago that we reported on what could turn out to be a swathe of job losses in the equity capital markets. But all is not lost; not only are some companies readying initial public offerings to give ECM bankers something to do, for those still left wondering if they’re facing the chop next, there is a hiring spree afoot elsewhere in the capital markets. We tell you where that is and what you can expect to be paid. That hiring spree, like everything else in the capital...

Duration:00:35:16

Tracing the effects of war in Ukraine across global capital markets

4/14/2022
If ever there was a week to demonstrate the interconnectedness of the international capital markets to what is going on in the rest of the world — in this case the awful events in Ukraine — this was it. On the podcast this week we follow a thread that starts with the appalling situation in eastern Europe and ends in the US securitization markets by way of looking at how companies are responding to the heightened uncertainty that the war has brought to the global economy, how it has affected...

Duration:00:43:40

So much for the hiring spree…

4/8/2022
It was only recently that GlobalCapital reported on both the huge amounts of business being done in the capital markets and the tussle between banks to hire enough staff to cope with it all. Record volumes meant soaring pay, especially among the massed legions of junior bankers as firms competed for staff. But the equity capital markets in particular have just had a dreadful quarter with very few pockets of activity and some recently hectic parts of the market all but closed. Already,...

Duration:00:32:08

Turbulent times: ECB retreats from bond market, defaults spoil Swiss calm

4/1/2022
For more than a decade, Europeans and Americans have only known low interest rates and central banks soothing debt markets with endless lashings of liquidity, through buying bonds. In recent years, the European Central Bank has been buying up to 40% of every corporate bond and covered bond issued in the eurozone, as well as vast quantities of public sector bonds. But it is pulling out — meaning the euro bond market is losing its biggest investor. Can it cope? Even the best rated...

Duration:00:32:04

Bonds in turmoil, a glimmer of hope for bank equities — and rhino bonds

3/25/2022
A month into Russia’s war on Ukraine, capital markets are getting more used to the risk it poses, and a wider range of issuers are able to raise money. But riskier types of deal — emerging markets, high yield and equities — are still virtually impossible. Emerging market bond issuance did resume with deals for Nigeria and Turkey, but then the brakes were slammed on again this week when Jay Powell, chairman of the US Federal Reserve, startled bond aficionados by hinting that some of the...

Duration:00:38:59

Capital markets faces carbon reckoning as vultures circle Russian companies

3/18/2022
Banks might finally be held to account for the damage to the environment their bond and equity underwriting does. Elsewhere, three Russian companies might face bankruptcy thanks to the effect of sanctions on their convertible bonds. While it has been fairly straightforward to measure what emissions a loan or an investment funds, assessing the part a bank’s capital markets deal arranging business plays in polluting the planet — working on an oil company IPO, or lead managing a bond for a...

Duration:00:37:32

Russian invasion: response, retreat and repayment

3/11/2022
The full implications of the Russian invasion of Ukraine for the capital markets are still far from clear. As we recorded this episode, European leaders were meeting at Versailles to discuss, among other things, another gigantic borrowing programme for the EU that could be funded in the bond markets — this time to fund defence and energy. We discuss all that we know so far on this developing story and whether it will make the EU the sort of permanent capital markets presence that defines it...

Duration:00:36:48

Getting out of Russia

3/4/2022
The Russian invasion of Ukraine has given capital markets participants in the West compelling legal, moral and financial reasons to question, and indeed halt, their involvement in financing the country and its businesses. Swathes of new sanctions have forbidden all sorts of financing activity, but critically, investors and companies like index providers — which provide a framework for so much investment in Russian assets — are now going beyond what is laid out in the proscriptions as they...

Duration:00:38:53

Russia, Ukraine and the capital markets

2/25/2022
This week’s podcast was recorded the morning after Russia began a full scale invasion of Ukraine. We look into the immediate effects on the capital markets — what the fresh rounds of sanctions means for Russian issuers and what sort of deals other borrowers will be able to do once enough stability returns to markets. We also discuss an area of the capital markets where investors are flocking to buy deals that may turn even hotter as a result of the invasion: the IPO market in the Middle...

Duration:00:36:41

Pay, sex and the City

2/18/2022
The remedy recently imposed upon BNP Paribas for a sexual discrimination case it lost in 2019 could have far reaching effects on the gender pay gap and for transparency over incomes — one of the City’s great taboos — more broadly. Not only did the French bank have to pay Stacey Macken, who won the tribunal, over £2m in compensation but it has been instructed to conduct a pay audit that will see it produce pay data for all of its London branch staff — from the canteen to the C-suite, via the...

Duration:00:43:30

The sons of Salomon

2/11/2022
Salomon Brothers is back. One of the most storied names of 1980s Wall Street, immortalised in Michael Lewis’s book Liar’s Poker is a registered trademark once again and is planning to get into the financial markets. Travelers Group swallowed up the original Salomon Brothers in 1998, a firm which merged with Citi in the same year. Citigroup finally dropped the Salomon brand — by then Salomon Smith Barney — 19 years ago. There are some people around the capital markets today who worked at...

Duration:00:39:11

A critical moment for Argentina and the IMF

2/4/2022
Much of the focus in capital markets is on what central banks — and subsequently, issuers of both debt and equity — will do next. We discuss how those policy decisions will affect issuance in the capital markets this year. But meanwhile, a situation is brewing between Argentina, which is in no position to issue debt at all, and the IMF that could have huge repercussions for not only both parties but also the country’s bondholders. Argentina is no stranger to debt restructuring, the IMF or...

Duration:00:48:34

Where bankers make the most money

1/28/2022
Compensation is up across the board for investment banking staff and bankers in the capital markets. But where do you have to work to make the big bucks? The GlobalCapital Podcast reveals the answers. We talk about pay levels — salary and bonus — throughout the ranks and which bits of the bank pay the best to work in. We also talk about what different shops pay and where to locate yourself for the best chance of making top dollar… or euro, or pound. But are the rising compensation levels...

Duration:00:33:33

A golden opportunity for oil and gas as new reality bites capital markets

1/21/2022
Last week on the GC Podcast, we questioned whether we had passed the high point of bond market madness — the sorts of new issues that left some market participants wondering why anyone would buy a deal on such parsimonious terms as they watched many more pile in regardless. This week, there was mounting evidence to suggest we had. Top rated issuers in the SSA and covered bond markets found themselves locked out of longer dated debt — at least at terms they would be happy to pay — as...

Duration:00:26:15

Was that the high water mark for bond market madness?

1/14/2022
The primary bond market was going gangbusters this week. January is always a busy month but, so far, this one feels busier than others. Bond markets have run on central bank fuel in the form of low rates and quantitative easing for years. That has led to some startlingly low yields and an era of cheap borrowing. But with rate rises on the way to combat inflation, there is a very real sense that this could be the end of an era. Amid the flood of new bond issues, issuers are grappling with...

Duration:00:32:42

What the first few days of 2022 tells us about the rest of the year in capital markets

1/7/2022
January is invariably one of the busiest months in the capital markets calendar for new issuance as borrowers race to get ahead of their funding plans, and those of their rivals. So far this year, it has been no different with huge volumes of bond funding raised across different markets. But underlying the buoyant conditions is a sense of unease that they might not last forever. This week, we looked at what is causing that unease — from the spectre of rising interest rates and the...

Duration:00:27:34