This content is from: Research

High Yield – Basic Materials: First

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Richard Phelan
& team
Deutsche Bank
"He’s a dynamic guy with a good ear for markets."

Richard Phelan, 44, steers his London-based Deutsche Bank duo to No. 1 for a third year running. In January 2012 the analysts urged clients to buy Ineos Group Holdings’ 9.25 percent 2015 senior secured notes, at €99.50, and HeidelbergCement’s 9.5 percent 2018 bonds, at €107.12. Ineos, a petrochemicals producer headquartered in Switzerland, would soon refinance its senior secured bank debt and tighten the bond’s spreads, the analysts argued, and they were right: In mid-May, after the refinancing, the notes climbed to €106 and the team downgraded them to hold, primarily on valuation. By mid-January 2013 they had inched up to €106.50. HeidelbergCement, a German building-materials manufacturer, was recommended for its exposure to Europe’s most resilient markets, particularly Germany and Poland. By mid-January 2013 the notes had climbed to €128.70, and the researchers continue to recommend them. Phelan, who holds an MBA from the Wharton School of the University of Pennsylvania, joined Deutsche Bank in 2006 from Credit Suisse, where he served as co-head of European high-yield research. — Ben Mattlin


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