Q1 Short-Term Bond Fundraising Scale 326.2 Trillion Won... Up 26.8% YoY

[Asia Economy Reporter Minji Lee] The Korea Securities Depository announced on the 11th that the amount of funds raised through short-term bonds in the first quarter reached 326.2 trillion won, an increase of 26.8% compared to the same period last year.

The issuance volume of general short-term bonds was 254.6 trillion won, up 24% from last year, while the issuance volume of securitized short-term bonds was 71.6 trillion won, an increase of 19.7% during the same period. Securitized short-term bonds refer to AB short-term bonds and PFAB short-term bonds issued by special purpose companies, in addition to general short-term bonds issued by general corporations, securities companies, and financial companies. The issuance volume of foreign currency-denominated short-term bonds was 644.5 million dollars, up 10.6% compared to the same period last year.

By maturity, bonds issued within 3 months accounted for 323.9 trillion won, representing 99.3% of the total. This is analyzed to be due to the exemption benefit from submitting a current securities registration statement. The issuance volume of ultra-short-term bonds within 7 days was 165.9 trillion won, an 8.4% increase compared to the same period last year. Among these, the issuance volume of 1-day bonds was 102.5 trillion won, accounting for 31.5% of the total issuance volume.

The issuance volume of bonds maturing within 8 to 92 days was 158 trillion won, a 53.2% increase compared to the same period last year. The issuance volume of bonds maturing within 93 to 365 days was 2.3 trillion won, up 109.1% compared to the same period last year.

By credit rating, A1 accounted for 306.5 trillion won, A2, A3, and below B were 15.5 trillion won, 4.1 trillion won, and 100 billion won respectively. The issuance of A1-rated bonds accounted for the majority of total issuance, indicating that there has been little change in the preference for safe asset investment.

By industry, securities companies issued 162.1 trillion won, securitized corporate bonds accounted for 71.6 trillion won, bonds issued by card, capital, and other financial businesses totaled 48.4 trillion won, and general and public enterprises issued 44.1 trillion won.