September 27 (Reuters) – The sharp drops in shares and bonds of the China Evergrande group raised fears of losses for global asset managers exposed to the ailing real estate developer.
The charts below show asset managers’ exposure to stocks and bonds of Chinese companies and their performance.
On the equity side, various Vanguard funds held around $ 40 million in stocks in August, according to data from Refinitiv Eikon, while BlackRock held at least $ 13 million in its emerging market iShare MSCI ETFs.
Holders of Evergrande bonds also include some of the world’s largest asset managers, according to the latest data released by Morningstar Direct on the holdings of U.S. and cross-border funds, as well as Asian bond funds.
Debt is held by funds managed by asset managers such as UBS, Fidelity, PIMCO as well as emerging markets focused asset manager Ashmore Group ASHM.L, the data showed.
Some of the funds had increased their exposure to Evergrande in July and August even as unease about its financial situation grew, Morningstar found.
Actions in Evergrande 3333.HK recovered some recent losses after the company said on Wednesday it had reached a deal to settle interest payments on a national bond. He reassured retail investors on Thursday that they were a top priority.
On Monday, stocks ended the day up more than 8%. However, the stock has plunged 83% this year, the fourth largest drop among large and mid-cap Asian companies, according to data from Refinitiv.
Evergrande missed the $ 83.5 million coupon payment deadline on a dollar bond last week, and his silence on the matter has left global investors wondering whether they will have to take significant losses at the end of the year. a 30-day grace period.
Yield of this bond due March 2022 VG158043114 = hit a record 636% on Wednesday, up from 13.7% at the start of the year. It was trading at 570% on Monday.
Fund with the largest stake in China Evergrande Grouphttps://tmsnrt.rs/3EFLCWh
Asian debt funds’ holdings in Chinese Evergrande bondshttps://tmsnrt.rs/2ZnTnA2
The holdings of emerging debt funds in Evergrande bondshttps://tmsnrt.rs/3opUf1F
China Evergrande Group share performance this yearhttps://tmsnrt.rs/3u2nbgP
Evolution of bond yields of the Evergrande group in China this yearhttps://tmsnrt.rs/3zz8HpP
(Reporting by Gaurav Dogra and Patturaja Murugaboopathy in Bangalore; editing by Nick Zieminski)
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