Gulf / GCC — Sovereign

Sovereign issuers from the GCC (Saudi Arabia, UAE, Qatar, etc.).

While the broader GCC sovereign landscape is traditionally dominated by highgrade, singleA to doubleA credits, the current screen highlights a clear highyield outlier in the region: Bahrain. Offering significantly higher yields than its Gulf peers, the sovereign provides an attractive entry point for investors seeking emerging market yield backed by implicit regional support. The topscreened instruments are heavily anchored by Bahraini issuances spanning the medium to ultralong end of the curve, led by the shortdated BHRAIN 6.5% maturing in April 2028 at a compelling 10.189% YTW. Further out on the curve, investors can capture deep value through discounted longerduration paper, such as the BHRAIN 6.25% 2051 bonds trading at deep discounts in the high70s with yields hovering around 8.47% to 8.49%. Across the remainder of the opportunity set—including the 2036 to 2047 maturities like the BHRAIN 7.5% 2047 yielding 8.627%—yields remain firmly entrenched in the 8% to 8.6% band. This concentration allows portfolio managers to lock in elevated nominal returns while maintaining exposure to a strategic Middle Eastern sovereign credit.

Results are limited to USD bonds with an amount outstanding of at least USD 200MM.