Companies from around the world raised $434 billion by selling corporate bonds in September, around $5 billion higher than the previous record that was set in March 2017, according to Dealogic. The yields on offer by government bonds have dropped following a rally earlier this year, and this pushed investors toward corporate bonds that offer better returns.

What are government bonds and how do you trade them?

More than a fifth of all gilts are currently offering negative yields, meaning investors are effectively paying to lend over $15 trillion to governments. In the UK, the average yield on a government bond is still positive but below 0.5%, whereas the safest corporate bonds are returning over 3%. It is easy to see why investors have become more interested in lending money to businesses rather than governments.

Low interest rates and increased appetite among investors have encouraged companies to tap the bond market. In the US, where demand for corporate bonds has been even stronger, Apple recently issued its first bond since late 2017, raising a total of $7 billion. Ford, Glencore and Verizon have been among the largest companies to have sold bonds in the UK this year.