In the LCD and EM debt markets, sovereign bonds must be collateralized by domestically-issued government bonds.

Name: In the LCD and EM debt markets, sovereign bonds must be collateralized by domestically-issued government bonds.
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Sovereign bonds in the LCD and EM debt markets do not have to be collateralized by domestically-issued government bonds; they are often unsecured and backed by the full faith and credit of the issuing government.

In the LCD and EM Debt Markets, Sovereign Bonds Must