India's inclusion in GBI-EM good news for bond market: Vikas Goel, PNB Gilts
«Second, this inclusion, JP Morgan GBI-EM diversified 110 inclusion, obviously it is good news for the country, for the bond markets and what is good news for bond markets is obviously also good news for primary dealers like PNB Gilts,» says Vikas Goel, MD, PNB Gilts.
PNB Gilts is in the business of debt broking. Now that the bond market will open up, how will life change for PNB Gilts?
So first, let me clarify, we are not a debt broker; we are a primary dealer in government securities, the only listed primary dealer. So our license is primarily focused on allowing us to be a market maker and supporting the government's borrowing program via being an underwriter. So we are essentially not a broker, we are a dealer. Second, this inclusion, JP Morgan GBI-EM diversified 110 inclusion, obviously it is good news for the country, for the bond markets and what is good news for bond markets is obviously also good news for primary dealers like PNB Gilts.
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Offering CollegeCourseWebsiteIIM LucknowIIML Chief Marketing Officer ProgrammeVisitIndian School of BusinessISB Chief Technology OfficerVisitIndian School of BusinessISB Chief Digital OfficerVisit Now that bond inclusion will start from 2024, for a dealer like PNB Gilts will there be more market making opportunity, could there be sizable revenue uptick which will happen because of this as the market expands?
So essentially, it is divided into basically two events. So one was the event today, and the second event will be the actual inclusion which will start as you mentioned, rightly, from June 24. So the passive tracking trackers, the funds which track the index, obviously, the real money passive investors will start coming in
