Below Par — Capital-Gain Kicker
Discounted USD coupon bonds (price ≤ 92) with a 2–7Y tenor and BB+ or better rating.
This curated selection targets highquality, deeply discounted USDdenominated corporate debt maturing within two to seven years, offering institutional portfolios an asymmetric capitalgain kicker as prices converge toward par. The screen successfully filters for investmentgrade and crossover issuers across robust global sectors—highlighted by toptier financials like MUFG (yielding 4.622%) and Korea Development Bank (yielding 4.141%), alongside bluechip industrials such as Merck (yielding 4.093%). While sovereign and quasisovereign names trade on tight credit spreads, opportunistic yield enhancement is available further down the quality spectrum, exemplified by higherbeta credits like Coinbase yielding 6.751% and select basic materials exposure offering doubledigit yields to maturity.
| # | Issuer | ISIN | Coupon | YTW | Price | Maturity | Next Call | Rating | CUR | AMT OUT |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | CSN Resources S.A. | …AJ97 | 4.625 | 18.758 | 57.35 | 2031-06-10 | 2026-11-13 | High Yield 1 | USD | 850MM |
| 2 | CSN Resources S.A. | …AK60 | 5.875 | 18.68 | 57.205 | 2032-04-08 | 2027-04-08 | High Yield 1 | USD | 500MM |
| 3 | Coinbase Global Inc | …AB62 | 3.625 | 6.751 | 63.45 | 2031-10-01 | 2026-10-24 | BB- | USD | 737MM |
| 4 | Sumitomo Mitsui Financial Group Inc. | …DX56 | 5.09 | 4.634 | 58.72 | 2031-07-08 | 2030-07-08 | A- | USD | 900MM |
| 5 | Mitsubishi UFJ Financial Group Inc. | …DJ06 | 5.38 | 4.622 | 52.78 | 2031-04-24 | 2030-04-24 | A- | USD | 500MM |
| 6 | Sumitomo Mitsui Financial Group Inc. | …DR88 | 4.95 | 4.542 | 57.89 | 2030-04-15 | A- | USD | 800MM | |
| 7 | Korea Electric Power Corp. | …AP77 | 4.52 | 4.169 | 56.98 | 2028-11-12 | AA | USD | 600MM | |
| 8 | Korea Development Bank | …EJ36 | 4.66 | 4.141 | 59.2 | 2030-02-03 | AA | USD | 900MM | |
| 9 | Merck & Co., Inc | …BV65 | 4.44 | 4.093 | 56.94 | 2029-03-15 | A+ | USD | 500MM | |
| 10 | China Construction Bank Corporation, Hong Kong Branch | …1625 | 4.5 | 4.084 | 55.69 | 2030-05-28 | Inv Grade 3 | USD | 500MM |
Results are limited to USD bonds with an amount outstanding of at least USD 200MM.