Global Tech Giants (USD IG)
USD, A-/A3+ technology bonds from Apple, Microsoft, Oracle and Meta.
This theme groups USDdenominated technology bonds from highgrade issuers, and the current screen is led by Microsoft, with nine of the ten bonds issued by the company and rated AAA. Microsoft's 6.35% notes due 2066 offer the highest yieldtoworst in the set at 6.365%, while its 6.25% notes due 2056 yield 6.294%, giving investors longdated exposure to a AAA credit. Apple's 2.85% notes due 2061, rated AA+, yield 6.205%, nearly identical to Microsoft's 2.5% notes due 2050 at 6.212%. That leaves little yield compensation for moving down from AAA to AA+. Yields across the set cluster between roughly 6.2% and 6.4% from 2046 to 2066 maturities, so the choice comes down to duration and price, not a large spread giveup.
| # | Issuer | ISIN | Coupon | YTW | Price | Maturity | Next Call | Rating | CUR | AMT OUT |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Microsoft Corp. | …DG69 | 6.35 | 6.365 | 99.7793619 | 2066-11-03 | 2066-05-03 | AAA | USD | 2BN |
| 2 | Microsoft Corp. | …DF86 | 6.25 | 6.294 | 99.4050074 | 2056-11-03 | 2056-05-03 | AAA | USD | 4BN |
| 3 | Microsoft Corp. | …CF95 | 3.041 | 6.27 | 54.3014167 | 2062-03-17 | 2061-09-17 | AAA | USD | 1.93BN |
| 4 | Microsoft Corp. | …BU71 | 3.95 | 6.252 | 69.0704744 | 2056-08-08 | 2056-02-08 | AAA | USD | 433MM |
| 5 | Microsoft Corp. | …CD48 | 2.675 | 6.23 | 50.2174167 | 2060-06-01 | 2059-12-01 | AAA | USD | 3.75BN |
| 6 | Microsoft Corp. | …BE30 | 4 | 6.224 | 70.5886988 | 2055-02-12 | 2054-08-12 | AAA | USD | 540MM |
| 7 | Microsoft Corp. | …DE12 | 6.15 | 6.213 | 99.2854355 | 2046-11-03 | 2046-05-03 | AAA | USD | 2BN |
| 8 | Microsoft Corp. | …CW29 | 2.5 | 6.212 | 54.1504 | 2050-09-15 | 2050-03-15 | AAA | USD | 1.43BN |
| 9 | Apple Inc. | …EL06 | 2.85 | 6.205 | 52.405875 | 2061-08-05 | 2061-02-05 | AA+ | USD | 1.4BN |
| 10 | Microsoft Corp. | …CU62 | 4.5 | 6.203 | 80.3507143 | 2047-06-15 | 2046-12-15 | AAA | USD | 392MM |
Results are limited to USD bonds with an amount outstanding of at least USD 200MM.