As Chinese bonds are included in ever-more international indices, this could pave the way for hundreds of billions of dollars to flow into China’s bond market.
FTSE Russell recently launched a Chinese Green Bond Index Series Chinese bonds will account for 5.49% of the $53.73 trillion Bloomberg Barclays Global Aggregate Index after Chinese securities are included in phases starting in April and they may join the FTSE World Government Bond Index WGBI, a widely used benchmark that includes sovereign debt from over 20 countries, as early as September.
“We are now consulting in considerable detail with all major global...