Asset Management

Credit managers warn on liquidity as BoE buying nears its end

Corporate bond managers expect an orderly exit for the central bank's bond-purchasing programme - but not one entirely without disruption

Credit managers warn on liquidity as BoE buying nears its end

Bond managers in the UK are gearing up for a period of tougher trading in the next few months, as the Bank of England stops buying up sterling corporate bonds under its quantitative-easing programme.

The central bank is about 80% of the way through its £10 billion programme of purchasing corporate bonds, which was begun last summer. Fund managers expect that at the current run-rate, the programme will wrap up sometime in the second quarter.

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