I have never bought bonds before, only shares.

I am interested in researching reasonably safe, good-yielding bonds/gilts in the region. Are there any attractive government securities in South East Asia right now? (I am getting 2.6% in HSBC account as a benchmark).

Also, I have not followed the corporate bond market in Thailand (is there one)? Has anyone invested in bonds here safely and profitably?

Any and all advice welcome.

Many thanks,

Sharecropper

I am interested in researching reasonably safe, good-yielding bonds/gilts in the region. Are there any attractive government securities in South East Asia right now? (I am getting 2.6% in HSBC account as a benchmark).

your 2.6% can only be used as a benchmark with the yields of bonds which have the same maturity and of course the same currency. you will look in vain for asian government bonds in GBP. i assume that your fixed deposit with HSBC is one year and the currency is GBP. if this is the case the answer for "attractive government securities" is a clear no. sovereign bonds which yield more than 2.6% are maturities of 10 years and more, denominated in USD are available galore. but nowadays an investment in long maturities is NOT advisable.

Also, I have not followed the corporate bond market in Thailand (is there one)? Has anyone invested in bonds here safely and profitably?

there is. the choice is mostly crap with high yields and good companies without satisfactory yield. if you want to gamble you can buy "TRUE", denomination US-Dollars, maturity aug2014, nominal interest 10.375%, price 101 = >10% yield.

^ Many thaks Naam. I thought you might have something useful to say.

I have identified some interesting bonds in the UK yielding 5-8% in decent companies which I would be more willing to invest in/gamble on than Thai companies but thought it was worth asking the question.

^ Many thaks Naam. I thought you might have something useful to say.

I have identified some interesting bonds in the UK yielding 5-8% in decent companies which I would be more willing to invest in/gamble on than Thai companies but thought it was worth asking the question.

why don't you list them? perhaps i have something useful to say

I can PM the full list as an attachment if you would like to see it. A mate of mine works in a European Bank in Bond Issuing and kindly got one of his colleagues to put it together for me.

But the ones I liked were: Cable & Wireless (Efective Yield 5.49%), Cable & Wireless (7.98%) Virgin Media (8.2%) Virgin Media (8.5%).

When I asked my broker he said they are almost impossible to get hold of!

I can PM the full list as an attachment if you would like to see it. A mate of mine works in a European Bank in Bond Issuing and kindly got one of his colleagues to put it together for me.

But the ones I liked were: Cable & Wireless (Efective Yield 5.49%), Cable & Wireless (7.98%) Virgin Media (8.2%) Virgin Media (8.5%).

When I asked my broker he said they are almost impossible to get hold of!

i can't comment specifically on any bonds mentioned unless i have their "ISIN" number which enables me to look up the details. if your list contains these identification numbers (most of them start with XS or US) please send it to me. i will be happy to give my input.

as far as the yields of "Virgin Media" are concerned i can already say now "either the company is in dire financial straits or the bonds are subordinated". the latter means that bondholders are only paid if the company achieves a balance sheet profit and pays a dividend to its shareholders".

preliminary info:

8.75 Cable 12 (SWX) - 06.08.2012 Price: 104.6 GBP Chg. (in%): +0.19 GBP (+0.18%) Volume: -

8 3/4 %:Cable & Wireless PLC:1996-6.8.12 Senior. (SR UNSECURED)

Symbol: GBP511 Type: Straight bond Industry: Telecommunications

Valor: 420472 Domicile: United Kingdom Exchange: SIX Swiss Exchange

Ask size: 100'000 (means no problem to buy up to GBP 100k) @ a price of 107.27 = yield to maturity 6.702 %

minimum tradeable batch = GBP 10,000

Nominal: GBP

Outstanding shares: 200'000'000 GBP (26.01.96)

Denomination: GBP 10'000, 100'000

Maturity: 06.08.2012

Coupon: 8.750 %

Coupon frequency: 1 p.a.

Next coupon date: 06.08.2010

Repay: 100.00

Debtor: Cable & Wireless

rating B1 =

*******************************

8.625 Cable 19 (XTR) - 25.03.2019 Price: 103.365 GBP Chg. (in%): +0.72 GBP (+0.70%) Volume: -

8 5/8 %:Cable & Wireless International Finance NV:1994-25.3.19 (COMPANY GUARNT)

Symbol: Type: Straight bond Industry: Telecommunications

Valor: 233094 Domicile: Netherlands Exchange: Xtraker

Yield: 8.084 % (no bid size = no liquidity)

there are two more bonds denominated in US-Dollars and a convertible bond denominate in GBP.

******************************

9.75 Virgin Med 14 (XTR) - 15.04.2014 Price: 102.5 GBP Chg. (in%): ±0 GBP (±0.00%) Volume: -

9 3/4 % Notes:Virgin Media Finance PLC:2004-15.4.14 Senior Reg-S (COMPANY GUARNT)

Symbol: Type: Straight bond Industry: Telecommunications

Valor: 1832849 Domicile: United Kingdom Exchange: Xtraker

Yield: 8.660 %

no ask size = no liquidity

rating not available, obviously not rated =

XS0063233679, XS0050504306, XS0217869774, XS0464803765 (I think - tiny print!)

XS0063233679

8.75 Cable 12 (XTR) - 06.08.2012 Price: 106.12 GBP Chg. (in%): -0.13 GBP (-0.12%) Volume: -

8 3/4 %:Cable & Wireless PLC:1996-6.8.12 Senior. (SR UNSECURED)

Symbol: Type: Straight bond Industry: Telecommunications

Valor: 420472 Domicile: United Kingdom Exchange: Xtraker

Nominal: GBP

Outstanding shares: 200'000'000 GBP (26.01.96)

Denomination: GBP 10'000, 100'000

Maturity: 06.08.2012

Coupon: 8.750 %

Coupon frequency: 1 p.a.

Next coupon date: 06.08.2010

Floor: 0.00

Repay: 100.00

Debtor: Cable & Wireless

Issue amount: 200'000'000

Issue date: 26.01.1996

Issue price: 101.01 %

Pricing: clean

Accrued interest: 4.837 %

Yield: 5.827 %

Calculation base price: 106.425 (MID)

Remaining life: 2.43

Duration: 2.219

Modified duration: 2.096

no liquidity!

XS0050504306

8.625 Cable 19 (XTR) - 25.03.2019 Price: 103.365 GBP Chg. (in%): +0.72 GBP (+0.70%) Volume: -

8 5/8 %:Cable & Wireless International Finance NV:1994-25.3.19 (COMPANY GUARNT)

Symbol: Type: Straight bond Industry: Telecommunications

Valor: 233094 Domicile: Netherlands Exchange: Xtraker

Nominal: GBP

Outstanding shares: 200'000'000 GBP (01.06.94)

Denomination: GBP 10'000, 100'000

Maturity: 25.03.2019

Coupon: 8.625 %

Coupon frequency: 1 p.a.

Next coupon date: 25.03.2010

Floor: 0.00

Repay: 100.00

Debtor: Cable & Wire Intl

Issue amount: 200'000'000

Issue date: 01.06.1994

Issue price: 99.54 %

Pricing: clean

Accrued interest: 7.906 %

Yield: 8.084 %

Calculation base price: 103.365 (MID)

Remaining life: 9.07

Duration: 6.223

Modified duration: 5.758

XS0217869774

9.75 Virgin Med 14 (XTR) - 15.04.2014 Price: 103.5 GBP Chg. (in%): -1.03 GBP (-0.99%) Volume: -

9 3/4 % Notes:Virgin Media Finance PLC:2004-15.4.14 (COMPANY GUARNT)

Symbol: Type: Straight bond Industry: Telecommunications

Valor: 2130166 Domicile: United Kingdom Exchange: Xtraker

Nominal: GBP

Outstanding shares: 78'394'198.839 GBP (21.12.09)

Denomination: GBP 1'000

Maturity: 15.04.2014

Coupon: 9.750 %

Coupon frequency: 2 p.a.

Floor: 0.00

Repay: 100.00

Debtor: Virgin Media

Issue amount: 375'000'000

Issue date: 13.04.2004

Issue price: 100.00 %

Pricing: clean

Accrued interest: 3.521 %

Yield: 8.602 %

Calculation base price: 104.69 (MID)

Remaining life: 4.12

Duration: 3.585

Modified duration: 3.301

XS0464803765

8.875 Virgin 19 (XTR) - 15.10.2019 Price: 104 GBP Chg. (in%): +1 GBP (+0.97%) Volume: -

8 7/8 % Notes:Virgin Media Finance PLC:2009-15.10.19 Senior (COMPANY GUARNT)

Symbol: Type: Straight bond Industry: Telecommunications

Valor: 10720383 Domicile: United Kingdom Exchange: Xtraker

Nominal: GBP 1'000

Outstanding shares: 350'000'000 GBP (09.11.09)

Min. denomination: GBP 50'000 (Increment: 1'000)

Maturity: 15.10.2019

Coupon: 8.875 %

Coupon frequency: 2 p.a.

Floor: 0.00

Repay: 100.00

Next repay: 108.875

Debtor: Virgin Media

Issue amount: 350'000'000

Issue date: 09.11.2009

Issue price: 98.40 %

Pricing: clean

Accrued interest: 2.638 %

Yield: 8.529 %

Calculation base price: 103.385 (MID)

Remaining life: 9.63

Duration: 6.56

Modified duration: 6.044

Next call date: 14.10.2012

no research availble for either company.

no research availble for either company.

Many thanks for having a look at them.