Feeling Really Rervous? How Eurozone FRNs Protect Against Higher For Longer ECB Rates

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By Robin Marshall, Director, Global Investment Research

After G7 policy rate increases in 2023, market expectations adjusted to the notion of ‘higher for longer’ on inflation and short interest rates, in Europe particularly.

The initial causes of higher

Seniority % by Market Value
Senior Unsecured 69.20%
Senior preferred 21.10%
Senior secured 6.03%
Senior Non-Preferred 3.58%