0.875%

[UncleEbenezer]

https://www.investegate.co.uk/article.a ... 604273448P

SSE announce they've successfully launched a new bond at 0.875%. With an eight year life, that puts it round about the same yield as similar-length gilts, and from an issuer that doesn't get to print its own money!

Is this a record?

[Alaric]

I suspect it is indeed a record low. Perhaps the buyers thought it was 8.75% by mistake?

Is it fixed or indexed?

[flyer61]

My thoughts precisely Fred Bloggs I wouldn't own the equity so your figure seems right to me...

[hiriskpaul]

https://www.investegate.co.uk/article.aspx?id=201708301604273448P

SSE announce they've successfully launched a new bond at 0.875%. With an eight year life, that puts it round about the same yield as similar-length gilts, and from an issuer that doesn't get to print its own money!

Is this a record?

This is Euro denominated. That yield is not out of the ordinary at present for investment grade Euro denominated debt with less than 10 years to maturity. For example, BMW Finance 0.875% 2025 is trading at about par. This has nothing whatever to do with the bonds being "Green"! There just happens to be very high demand for Euro denominated debt right now, helped by the ECB buying over €1.5T of it. Mostly Government bonds, but they have bought tens of billions of corporates as well.