Abu Dhabi sets initial price guidance for its two-part bonds

BY Reuters | TREASURY | 02/26/26 01:02 AM EST

Feb 26 (Reuters) - Abu Dhabi set an initial price guidance for its two-tranche U.S. dollar-denominated bonds sale, according to an arranging bank document.

The indicative price for 5-year bond was set at 50 basis point over U.S. Treasuries, while 10-year debt carried an initial price of 55 bps over the same benchmark, the document, seen by Reuters on Thursday, showed.

Benchmark-sized two part debt is expected to be priced later in the day. Benchmark size is typically considered to be at least $500 million. (Reporting by Mohammad Edrees; Editing by Muralikumar Anantharaman)

In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

fir_news_article