In high-yield revival, global funds prefer Indonesia over India

Indonesian bonds appear more promising than India’s in a contest between Asia’s high-yield heavyweights, according to two of the world’s biggest investment funds.
 

The archipelago’s debt is more attractive due to a superior fiscal outlook and the greater potential for currency strength, says JPMorgan Asset Management. Indonesia’s bonds also have more upside than India’s after suffering more heavily in the virus sell-off, according to BNP Paribas Asset Management.

“We favour Indonesian debt as fiscal challenges are less severe there,” said Julio Callegari, lead fund manager for