In the LCD and EM debt markets, sovereign bonds have historically been issued in foreign currencies.

Question

Quizplus · Accepted Answer

Sovereign bonds have often been issued in foreign currencies to diversify the investor base and access a wider range of investors. This is common in emerging markets where domestic demand for government debt may be limited. However, there has been a trend towards greater issuance in local currencies in recent years.

In the LCD and EM Debt Markets, Sovereign Bonds Have