A growing share of dollar-denominated corporate bonds issued in emerging markets is being bought up by Western asset managers, bracing local companies for a "major impact" if herding behaviour causes a sudden sell-off, Bank for International Settlements (BIS) head of research Hyun Shin has warned.

The issuance of debt securities by non-financial corporations has soared after the financial crisis as capital markets are increasingly replacing banks as financial intermediaries around the world – a