Inflation-linked bond issuance set to hit $2 trillion

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Inflation coming round the montain

Indexes and products linked to inflation are making a comeback after volatility during the financial crisis deterred many investors, says Barclays Capital.

The inflation-linked bond market is expected to reach $2 trillion in global issuance this year, according to the bank, with $200 billion of this coming from the US and European governments.

The structured products market for inflation improved last year and demand is growing for inflation strategy indexes as investors look for transparency in

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