Credit Suisse Recommends Colombia FRN Switch

Credit Suisse is recommending investors switch out of Colombian FRN 2015s into the more liquid 2017s to take advantage of current levels. Recent allegations of paramilitary links to allies of president Alvaro Uribe have caused Colombian spreads to widen and the 2015s to outperform. However, Credit Suisse analysts believe that if “allegations regarding Uribe quiet down and Colombia spreads tighten back to previous levels, the ’15s are likely to underperform”.