Argentina: Is corporate debt an opportunity?

Select issuers now more attractive

clock • 3 min read

The yields on Argentinian government debt have spiked sharply in recent weeks on the back of the primary elections held in mid-August, when President Mauricio Macri unexpectedly lost to Alberto Fernández, close ally of ex-president Cristina Fernández de Kirchner who has historically supported a socialist political agenda.

As a result of the subsequent devaluation of the currency and high dependence of Argentina on foreign currency borrowings (only 22% of the debt was denominated in peso as of 30 June), the government may find itself unable to access international capital markets and roll over its short-term debt at affordable interest rates, leading the country to a very probable debt restructuring. The polarisation of bond markets: Austria versus Argentina In case of a restructuring, private creditors are very likely to take a major haircut. At the end of Q1 2019, about $160bn of Argentina's national ...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Investment

Event Voice: Stepping out of cash into the Credit Sweet Spot

Event Voice: Stepping out of cash into the Credit Sweet Spot

Peter Marsland, Fixed Income Investment Specialist, from Aberdeen discusses the Short Dated Enhanced Income Fund at the June Fixed Income Market Focus.

Peter Marsland, Fixed Income Investment Specialist
clock 08 July 2025 • 4 min read
Investors undergo 'buyers' strike' in June sending order values to two year low

Investors undergo 'buyers' strike' in June sending order values to two year low

Middle East conflict did not deter investors

Eve Maddock-Jones
clock 08 July 2025 • 2 min read
The big questions around re-evaluating risk for the retail investment industry

The big questions around re-evaluating risk for the retail investment industry

Discussions at Global Investment Management Summit

Katrina Lloyd
clock 08 July 2025 • 8 min read
Trustpilot