Gulf / GCC — Sovereign

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

This screen highlights a compelling relativevalue pocket within the broader GCC sovereign space, dominated entirely by highyielding Bahraini government paper trading at significant discounts to par. Despite carrying singleB ratings, these USDdenominated instruments offer emergingmarketplus carry underpinned by sovereign sponsorship expectations, presenting an asymmetric riskreward profile for active crossover and dedicated EM debt allocators. The curve is heavily skewed toward highoctane absolute yields, with the shortend 2028 maturity offering a striking 10.189% yieldtoworst via its 6.5% coupon, while longerdated paper anchors yields firmly in the mid8% range. Investors can capture the 7.5% 2047 line at an attractive cash price of 88.665 with an 8.684% YTW, or opt for deepdiscount structural plays like the 6.25% 2051 bonds changing hands near 76.7 to lock in durable, longduration income. Across the belly of the curve, instruments such as the newly screened 7.1% 2038 and 7.5% 2037 bonds provide robust mid8% yields (8.469% and 8.453% YTW respectively) without the duration extension of midcentury maturities. This concentration of highcoupon liquidity allows portfolio managers to construct tailored barbell strategies optimized for carry generation against a backdrop of resilient regional macroeconomic fundamentals.

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