Moneyzine
Contents
/Investment Guides /Dim Sum Bonds

Dim Sum Bonds

Moneyzine Editor
Author: 
Moneyzine Editor
1 mins
January 16th, 2024
Advertiser Disclosure
Dim Sum Bonds

Definition

The term dim sum bond refers to an indenture issued in Hong Kong, in Chinese yuan, by a bank or corporation located in China or Hong Kong. Dim sum bonds are issued when a corporation wishes to raise capital from investors interested in holding yuan denominated assets.

Explanation

Corporations that wish to raise funds in Hong Kong have the option of issuing what are known as dim sum bonds. These bonds are sold by non-domestic as well as domestic entities, including corporations, financial institutions and governments, and are issued in Chinese yuan. Dim sum bonds are attractive to investors interested in holding debt issued in yuan, but are unable to do so due to Chinese domestic debt regulations.

Dim sum is a popular Cantonese meal that is served as bite size portions of food served on small plates or in a steamer basket. This style of food preparation is especially popular in Hong Kong, where restaurants begin serving dim sum in the early morning hours.

Related Terms

Huaso Bonds
The term huaso bond refers to an indenture issued in Chile, in Chilean peso, by a foreign bank or corporation. Huaso bonds are issued when a corporation wishes to raise capital from investors located in Chile.
Moneyzine Editor
Moneyzine Editor
January 19th, 2024
Investment-Grade Bonds
The term investment-grade bond refers to a security deemed to be of high quality by a credit rating agency. Since the risk of default is lower with investment-grade bonds, these securities will pay a relatively low rate of interest.
Moneyzine Editor
Moneyzine Editor
January 23rd, 2024
Baklava Bonds
The term baklava bond refers to an indenture issued in Turkey, in Turkish Lira, by a foreign bank or corporation. Baklava bonds are issued when a corporation wishes to raise capital from investors located in Turkey.
Moneyzine Editor
Moneyzine Editor
January 8th, 2024
Arirang Bonds
The term Arirang bond refers to an indenture issued in South Korea, in Korean won, by a foreign bank or corporation. Arirang bonds are issued when a corporation wishes to raise capital from investors located in South Korea.
Moneyzine Editor
Moneyzine Editor
January 5th, 2024
The term panda bond refers to an indenture issued in China, in Chinese renminbi, by a foreign bank or corporation. Panda bonds are issued when a corporation wishes to raise capital from investors located in China.
Moneyzine Editor
Moneyzine Editor
September 20th, 2023

Contributors

Moneyzine 2024. All Rights Reserved.