Irish bonds delivering best returns in world

IRISH bonds are delivering the best returns in the world as investors bet the former Celtic Tiger is the most likely of the euro area’s bailed-out nations to grow itself out of trouble, while Portugal and Greece shrink.

Irish securities handed investors a 14% gain in the past three months, the highest among 26 government debt markets, according to indexes compiled by Bloomberg and the European Federation of Financial Analysts Societies.

The nation’s 10-year yield is at more than two percentage points below its three-month average, the biggest recovery among the countries that received aid. Greek yields are 1.13 percentage points higher than their average since May 23, while those of Portugal are 2 basis points above their mean.