Insights

Four years of quantitative easing and an essentially zero percent target rate have certainly had an impact on the bond markets and corporate cash management. We saw the Fed's balance sheet balloon to over $3 trillion in January, the ten-year Treasury note hit an all-time low of 1.39 percent in July of last year, and U.S. corporate bond issuance had a record year with over $1.3 trillion in new issuance. Now that we are two months into 2013, it might be worthwhile to take a look at how this year is shaping up in terms of corporate bond issuance and what that means for corporate cash investment portfolios.