International and local banks are in a head-to-head competition for market share in Asian currency bonds. Local banks and securities firms now dominate in five of the nine secondary markets for government bonds reviewed in the 14th annual Asian Currency Bond Benchmark. They are also leading in five of the secondary markets for local currency credit.
Across the nine markets surveyed, Standard Chartered has the strongest presence, followed by HSBC, Deutsche Bank and Citi. Bank of America Merrill Lynch is a rising star.
Standard Chartered is particularly strong in sales service, scoring the largest share of points in clients' satisfaction; and was ranked first in five of the nine markets. "Standard Chartered offers a lot of liquidity and tight pricing compared to other banks. Their sales team gives me good information about the market," reported an Indonesian investor. The ability to provide trade ideas is another key strength of theirs. "The salesperson at Standard Chartered is extremely dedicated and generates a lot of trade ideas. He is energetic," commented an investor in Singapore.
In Taiwan, KGI Securities strengthened its market share for government bonds after merging with Grand Cathay Securities in 2013. "KGI has the largest inventory and they are also one of the biggest securities underwriters in the Taiwan bond market," noted one respondent. On the other hand, Yuanta Securities regained its first place position in terms of its share of secondary market trades for corporate bonds.
In other markets, CIMB controls the largest market share for corporate bonds in Malaysia, and takes third position for government bonds. Axis Bank holds its first position for corporate bonds while ICICI Securities came first for government bonds in the Indian rupee bond market. In Thailand, Kasikornbank tops the table for government bonds and ranks second for corporate bonds.
Top banks in the secondary market in Asian currency bonds |
Government bonds
|
Market
|
1st
|
2nd
|
3rd
|
China
|
Bank of China
|
ICBC
|
Agricultural Bank of China
|
Hong Kong
|
HSBC
|
Standard Chartered
|
BNP Paribas
|
India
|
ICICI Securities
|
Standard Chartered
|
HSBC
|
Indonesia
|
Deutsche Bank
|
Standard Chartered
|
Citi
|
Malaysia
|
Standard Chartered
|
Citi
|
CIMB
|
Philippines
|
Metrobank
|
First Metro Investment Corp.
|
Security Bank Corporation
|
Singapore
|
HSBC
|
Standard Chartered
|
ANZ
|
Taiwan
|
KGI Securities
|
Yuanta Securities
|
Mega Securities
|
Thailand
|
Kasikornbank
|
Standard Chartered
|
HSBC
|
|
Top banks in the secondary market in Asian currency bonds |
Corporate bonds
|
Market
|
1st
|
2nd
|
3rd
|
China
|
Citic Securities
|
CICC
|
China Securities
|
Hong Kong
|
HSBC
|
Standard Chartered
|
BNP Paribas
|
India
|
Axis Bank
|
ICICI Securities
|
ICICI Bank
|
Indonesia
|
Standard Chartered
|
HSBC
|
Mandiri Sekuritas
|
Malaysia
|
CIMB
|
Maybank
|
RHB
|
Philippines
|
HSBC
|
Standard Chartered
|
Deutsche Bank
|
Singapore
|
Standard Chartered
|
HSBC
|
DBS
|
Taiwan
|
Yuanta Securities
|
KGI Securities
|
Capital Securities
|
Thailand
|
TISCO
|
Kasikornbank
|
KGI Securities Thailand
|
|
Investors' Choice for Primary Issues - |
Best quality and number of primary issues in Asian currency bonds
|
Market
|
Government bonds
|
Corporate bonds
|
Hong Kong
|
HSBC
|
HSBC
|
India
|
Standard Chartered
|
Axis Bank
|
Indonesia
|
Citi
|
Standard Chartered
|
Malaysia
|
RHB
|
CIMB
|
Philippines
|
Deutsche Bank
|
BPI Capital
|
Singapore
|
HSBC
|
HSBC
|
Taiwan
|
Masterlink Securities
|
Yuanta Securities
|
Thailand
|
Kasikornbank
|
Kasikornbank
|
|
With the equivalent of US$594 billion of assets managed and a secondary market turnover equivalent to US$486 billion, the annual review conducted by Asset Benchmark Research covers more than 300 institutional investors active in nine Asian currency bond markets: China (onshore and offshore), Hong Kong, Indonesia, India, Malaysia, Philippines, Singapore, Taiwan and Thailand. This in-depth survey covers clients’ satisfaction in the area of research, sales and trading, and also wallet share in the secondary markets.
Asset Benchmark Research‘s Top Banks in the secondary market and Investors' Choice for Primary Issues in the Asian currency bond markets will be honoured at a gala dinner in Singapore on November 25 2014 on the eve of the 9th Asian Bond Market Summit. For further information to attend the gala dinner or join the Summit, please
click here.
To view the Top Investment House ranking as well as the individual rankings for the Most Astute Investors and the Best Individuals in Asian Currency Bonds, please click into the links below:
To find out more about Asset Benchmark Research, please
click here.