< The 2014 All-Europe Fixed-Income Research Team
Barclays debuted at runner-up in 2013 and this year rises to No. 3. Captained by Jonathan Glionna, the London-based trio “has stepped-up its game in the past two years and built one of the strongest fixed-income teams in Europe,” one fund manager maintains. “Their research is insightful and timely, but where the team excels is in responding to client requests, however technical these may be, and providing trade ideas.” One key recommendation from the past year was an April overweight of Spain’s Banco Bilbao Vizcaya Argentaria and Banco Santander. Thanks to the profitability of their overseas operations, the two international banks are well positioned to withstand countervailing forces from weak European economies, including their home country, and any increases in bad loans related to regulatory stress testing. Indeed, by the end of the year, BBVA’s and Santander’s credit default swaps had tightened by 140 basis points and 130 basis points, respectively. Glionna and his team “are good at getting the main idea through and at the same time providing a lot of detail,” reports another supporter. “Their research on bondholder burden sharing — bail-in — has been very thorough and enlightening.” |