BlackRock Buys Riskier Developers as Yields Slump: China Credit

BlackRock Inc., the world’s largest asset manager, is buying more debt from lower-rated Chinese property developers as a pick-up in the economy cuts junk-bond yields to the lowest in almost eight years.

Speculative-grade notes sold by the nation’s companies pay an average 7.63 percent, down 713 basis points over the past year and the lowest since March 2005, according to Bank of America Merrill Lynch indexes. The country’s B rated issuers offer 247 basis points more than their BB peers, the data show. That exceeds the 147 basis-point spread between similar U.S. junk bonds, according to the indexes.