Bank of Singapore’s Malik Likes Chinese High-Yield Credit

The video discusses the underperformance of Asian credit, particularly Chinese high yield, in recent years due to factors like US-China trade tensions and liquidity issues. However, the outlook for 2019 is positive, with attractive valuations, improved corporate governance, and reduced net supply. Additionally, favorable market conditions such as a dovish Fed and a weaker US dollar, along with low default rates, make Chinese high yield, especially in the property sector, an appealing investment opportunity.

What impact do a more dovish Fed and a weaker U.S. dollar have on emerging markets?

What were the default rates mentioned, and how do they compare to the historic average?