Markets

Corporate bond purchases will start in June says ECB

Details of the Corp sector purchase program, or COP bonds as they're calling it.

  • COP bonds have to be eligible as collateral
  • Will be purchased on primary and secondary markets
  • Will be carried out by 6 national central banks
  • ECB won't buy bonds of asset management vehicles
  • No primary purchases will involve debt instruments issued by entities that qualify as public undertakings
  • Will apply share issue limit of 70% for international securities
  • Will report purchase breakdown monthly

We'll have to see what levels these purchases reach to fathom the possible overall effect on markets. The news on asset management might see a few front runners in that area bailing out of trades.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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