European credit seen luring Asian investors

With investors in emerging market credit spooked by US taper talk and releveraging among American companies, Asian interest in European junk bonds continues to rise, say asset managers. The asset class posted returns of 8.8% plus Libor last year, while investment grade returned 2.4% over Libor, according to Bank of America Merrill Lynch. Some European fund houses with an Asian presence benefited as a result. Of the $17 billion in global net flows into Amundi’s European high-yiel…