How to make money in Asian debt as competition bites

Amid growing competition, Morgan Stanley’s Julien Begasse de Dhaem gives his strategy for a profitable debt business, from financing ChemChina to selling Formosa bonds.

It’s tough in debt, says Julien Begasse de Dhaem, head of Asia Pacific global capital markets for Morgan Stanley. You have to box clever. 

Begasse’s recipe for success is to mix a focus on high-yield bonds with the ability to match issuers from outside of Asia with the region’s growing cohorts of investors. The cherry on the top is to selectively take risk by creating solutions for borrowers such as state-owned China National Chemical Corp., or ChemChina, which is seeking to become the world’s biggest chemicals company via its takeover of Swiss agrichemicals firm Syngenta.

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