Dictionary

Eurobond

From the Collaborative Bond and Money Market Data Portal 


A Eurobond is a bond targeted at cross-border distribution. It does not follow the rules of a particular domestic market. Its cross-border status is determined by documentation and contractual arrangements that allow the creation of a security in dematerialized form to be issued, cleared and settled internationally. Eurobonds are typical free of any national withholding taxes.

The Eurobond market started by targeting bonds towards a pool of Euro-dollars sitting in offshore accounts. Eurobonds do not refer to bonds issued in Europe or indeed bonds denominated in the euro currency. Eurobonds together with Global and Foreign Bonds make up International Bond Markets.

In the Collaborative Bond and Money Market Data Model, the field "Market" appears with the attribute or classifications:
- Euro Market
- Foreign Market
- Global Market, and
- Domestic Market.

Where no classification is provided and the ISIN does not start with XS, the default is Domestic Market. In capital market data analysis CMDportal often uses the characteristic that the ISIN starts with specific two letters:
- XS for International bonds, which can either be Euro, Foreign or Global bonds and
- not XS for bonds that are Domestic bonds, such as DE for German Domestic Bonds, FR for French Domestic Bonds etc. Subscribing CMDportal users can filter for bonds by Market typing these first two letters in the ISIN filter or by using the Market filter as provided by most tools on the portal.

Based on available data, on the 1st of October 2018, the size of the Eurobond Market was over USD 24.8n.

For information on issues in the Eurobond Market, please use the Instrument Search tool.
For information on the current size of the Eurobond Market, please use the Data Sheet tool.
For information on the composition of the Eurobond Market, please use the Issuer Search tool.
For information on active dealers in the Eurobond Market, please use the Dealer Search tool.
For information on active investors in the Eurobond Market, please use the Fund Search tool.