Moody's Investors Service
The 2020 iteration of the KangaNews-Moody’s Investors Service Corporate Borrower’s Intentions Survey highlights the response of corporate Australia and New Zealand to COVID-19. The results show treasury teams are anticipating a rocky path out of the crisis and a heightened domestic focus to their funding plans.
The KangaNews-Westpac Corporate Debt Summit debuted in 2011, with a relatively small audience and a market that could not yet take consistent supply of corporate bonds for granted. In the decade since, the event and the market have grown and diversified. By 2019 – the last year before COVID-19 put the in-person event on hiatus – registrations had more than trebled, to nearly 600, and the event’s agenda covered not just corporate debt but a raft of issues relevant to the economic and business environment.
As more companies focus on increasing diversity, equity and inclusion, Moody’s Corporation leads with a global diversity model that elevates these core components through seven business resource groups, including for women, and 43 local chapters across the Americas, EMEA and Asia Pacific.
Despite lockdowns and COVID-19, corporate Australasia is optimistic, according to the 2021 KangaNews-Moody’s Investors Service Corporate Borrowers’ Intentions Survey. The results highlight favourable market conditions are expected for future funding plans.
Australia’s buy-now, pay-later securitisation sector received a significant stamp of approval in July as Moody’s Investors Service upgraded the top tranches of all three of Zip Co’s outstanding transactions to Aaa. The rating agency had previously withheld the top mark based on the relative infancy of Zip and the BNPL asset class, and the issuer now says it hopes to see a cost-of-funds benefit from the development.
Australian corporate and nonbank borrowers have made the most of a playing field left open to them by the absence of major-bank senior bond issuance since early 2020. Whether the credit market remains as deep for these borrowers once banks return is one of the biggest questions heading into the second half of 2021.
WOMEN IN CAPITAL MARKETS Yearbook 2021
KangaNews's annual yearbook amplifying female voices in the Australian capital market.