Investment-grade borrowers have sold $12 bln of convertible bonds this year, more than 30% of total issuance. Convertible bonds can be swapped for equity if a company’s shares rise to a specific price. They allow companies to borrow at 2-3 percentage points cheaper rate than a traditional bond. The market used to be dominated by junk-rated companies.

After the government's changes to climate policies, it sold £3 bln of bonds due 2033, with a demand 2.56 times as high. The difference between the yield at the weighted average price and the lowest accepted price (a.k.a the tail) was 1.3 basis points, up from 0.2 in the previous sale. That suggests the UK had to accept a concession to sell the bonds.