FSA seeks transparency in UK bond market

The Financial Services Authority is working to improve liquidity and transparency in the UK bond market in the face of increasing competition from emerging markets.

FSA managing director of risk Sally Dewar says 2009 was a record year for corporate bond issuance in the UK, but added Asia also enjoyed strong growth with Asian G3 currency bonds hitting a record volume of $64.7bn - a 148% increase on the previous year. Emerging markets also benefited from the credit crunch, says Dewar, with debt raising almost doubling as investors looked to the South, East and the Gulf for higher yields. Dewar says: "Against this backdrop of volatile and diverse market conditions, the FSA has been taking various measures to maintain confidence in UK markets and fac...