Africa's Back in Vogue as Eurobond Investors Lap Up High Yields

(Bloomberg) -- Africa is the place to be for emerging-market bond investors.

The continent’s dollar securities are outperforming those of all other regions this year as the U.S. Federal Reserve’s dovish tilt entices traders to buy up riskier, high-yielding assets.

African names dominate the list of best countries in the Eurobond space. Kenya is out in front, its debt having returned 9.9 percent, while Zambia is in second place. Oil producers including Nigeria, Angola and Gabon also feature.

The continent’s Eurobonds have returned 6.4 percent in 2019, according to JPMorgan Chase & Co.’s indexes. The average gain for emerging markets is 4.4 percent.

To contact the reporter on this story: Paul Wallace in Lagos at pwallace25@bloomberg.net

To contact the editors responsible for this story: Dana El Baltaji at delbaltaji@bloomberg.net, Robert Brand, Alex Nicholson

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