Bermuda Whispers

Bermuda is whispering in the low to mid UST+ 200bp range for the yield on a new benchmark-size long 10-year bond, according to sources following the transaction. The island nation wrapped up fixed-income investor meetings on Monday and could price as early as today. The sovereign has an Aa2/AA minus/AA+ rating. HSBC is managing the sale. Bermuda’s previous visit to the DCM was its first, raising $500m in 2020 bonds in 2010, at a 5.603% yield. The bonds were heard trading around 3.40%, or UST+195bp, Monday.