Shares & Derivatives
Thoughts on Singapore Airline Retail Bonds (6%+ Yield)
By The Asia Report  •  March 20, 2020
Singapore Airlines had earlier issued a retail bond in early 2019. It’s currently trading at about 90 cents on the dollar reflecting those challenges. Source: Shareinvestor.com Although the initial coupon was 3.03%, the fact that it has fallen below PAR means that its yield to maturity is far higher at >6%. Source: Fundsupermart.com The next few months will be extremely challenging for SIA given the evaporation of demand. The Business Times had a recent article on Singapore Airlines highlighting that OCBC Credit Research had lowered its credit rating given the current challenges that it faces and diving into the main challenges it faces. A lot of it is going to be dependent on factors outside its control. It certainly has a stronger balance sheet than most other airlines but the scale of what’s happening is unprecedented. What’s Happening Around The World There has been plenty of talk of...
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By The Asia Report
Richard is passionate about teaching the principles of value investing to people from all walks of life. Richard is also a frequent guest speaker on investing and financial markets at institutions such as University College London and the London School of Economics, and at investment conferences held in Singapore ...
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