< The 2014 All-Europe Fixed-Income Research Team
J.P. Morgan’s London-based trio under the direction of Nitin Dias and Stephanie Renegar advances from runner-up to No. 3 on this roster. The co-leaders also guide J.P. Morgan troupes to No. 1 in High-Yield Basic Materials and No. 2 in both High-Yield and Investment-Grade Manufacturing/General Industrials. “They have a finger on the pulse of the credit markets,” affirms one portfolio manager. Backers point to this crew’s long-standing bullishness on Swiss specialty-chemicals supplier Clariant, partly on the strengthening of its credit metrics from asset sales. Since they upgraded it from neutral to overweight in July 2012, Clariant’s five-year credit default swap had tightened from 317 basis points to 93.8 basis points, through late December 2013, narrowing by more than 100 basis points in the preceding 12 months alone. Looking ahead, the researchers predict that German building materials manufacturer HeidelbergCement will improve its credit profile sufficiently by the end of this year to be bumped up to investment grade. They are, however, cautious on Swiss competitor Holcim, citing in part disappointing results. “Their purview is both broad and deep,” lauds another fan. |