LTP Trade Finance IndexÖ - November performance update

The LTP Trade Finance IndexÖ - the independent total return index covering the trade finance asset class - reflected further credit problems in November, driven principally by the slow-motion sovereign default taking place in Argentina. Another sharp hike in Argentine credit spreads - coupled with a slight increase in USD LIBOR - generated a capital loss for the month, the first in 2001. Overall, Trade Finance credit spreads are at their highest for the year.