Zero to Hero: Is the Idea of Investing in Zero-Coupon Bonds Attractive Now?
February 28th
You might not have heard much about zero-coupon bonds before now. This is a unique type of bond that offers... The Best Emerging Market Debt Bond Funds to Watch in 2020
February 7th - Buying bonds offers a smart way to make a fixed return investment. If you choose bonds such as those from the US Treasury or the UK Government then expect a steady if unspectacular return. However, some of the best returns...
Modi’s avoidance of extra debt relieves ‘scared’ bond investors
February 3rd - Prime Minister Narendra Modi has kept the Indian government debt in line with the budgeted estimates, easing the country’s market after enduring months of declines. In the financial year starting April 1. 2020, Modi’s administration will borrow about $109 billion,...
The bond market is once more worried about a recession
January 30th - With last year’s recession out of the way, it seems the bond market is at it again. Experts say the market is sending another downturn signal. Just like in 2019, the spread between different bonds or the yield curves is...
Fed’s Wednesday Meeting triggers higher US Treasury Yields
January 28th - This week’s Fed meeting will be one of the most anticipated and the stakes are undoubtedly high, amid a slump in the Chinese economy occasioned by an outbreak of the Coronavirus. Reports this morning indicate the death toll has risen...
Japanese investors snap up $9 billion of Asian bonds in less than a year
January 24th - Japanese fund managers say local investors’ appetite was fast-growing having purchased emerging-Asian bonds on record in 2019. During the first eleven months of last year, Japan investors gobbled up about $9 billion (approx. 1 trillion yen) of Asian debt, and...
UK debt boss pours cold water on “green” government bonds
January 21st - UK’s head of Debt Management Office (DMO) has expressed concerns over the issuance of green state bonds. Sir Robert Stheeman poured cold water on the case saying it would be more costly to the public compared to conventional gilts. Sir...
Barclays, FactSet unveil tool to bolster transparency in the bond market
January 16th - London-headquartered multi-national bank, Barclays Plc and data service provider FactSet have agreed to collaborate to foster transparency on the “opaque” bond market. Barclays is one of the oldest financial institutions globally, having existed for more than 325 years. Chief Executive...
Very few LCF bond investors to be compensated, FCA now says
January 9th - It is now official that of the 11,600 investors that invested in the inoperative bondholder London Capital & Finance (LCF), only 159 would be compensated. The Investment firm was permanently closed after it was involved in one of the kingdom’s...
Bond investors not fooled by Goldman Sachs’ market assessment
January 7th - Following the assassination of Iranian general Qassem Soleimani on Friday last week, bond investors have been shifting to government bonds triggering a sharp decline in the US government debt. It would appear the high risk associated with bonds that boosted...
Is the 60-40 stocks and bonds split still sound financial advice?
January 4th - Over the last two decades, it was a rule of thumb for almost all financial advisors: Investors should put 60% of their investment in stocks and 40% in bonds. The balance was presumed to be the “perfect” shield against falling...
A decade in the Canadian Market
December 23rd 2019 - How good have Canadian stocks performed over the last decade? It’s simple: investors would be better off investing in guaranteed government bonds and avoiding risky and volatile equities. A combined bond investment of provincial, municipal and federal bonds returned 94%...
How to use the ‘stock-bond-ratio’ to invest
December 17th 2019 - Investors are now thinking about bond investment in a whole new way, thanks to the changing market dynamics. Savvy investors have moved away from the old age adage that required one to hold a bond portfolio equal to their age...
“Burrito bond” investors now risk losing up to 90% of their money
December 16th 2019 - It wasn’t business as usual for “burrito bond” investors after being informed that they could lose 90% of their investments or up to 99% if the company is placed under receivership. About a month ago, The Guardian published an article...
Trump proclaims success on talks, and the market won’t stay still
December 14th 2019 - Government bond yields throughout the world surged Thursday and Friday following signs that the China and the US had reached a trade deal that will curtail the impact of the months-long antagonism between the two countries. In the US, the...
Christmas comes early for premium bond winners
December 10th 2019 - Christmas has come early for a few lucky investors who subscribed to the premium bonds. Last month, several people walked away with prizes ranging from £1 million to £100,000 to £25 and this month is no different. Each month, premium...
The bond market won’t move much, but China traders are betting on it
December 5th 2019 - China’s bond traders are not having it easy making money in a market that hardly moves. Investors have been casting their nets far and wide to boost returns, with 10-year notes recording the narrowest range in seven years. This year...
The 2019 bond phenomenon not yet over – professional trader
December 3rd 2019 - It has certainly been an eventful year for the bond markets. For the better part of this year, the US Treasury returns, which are known to have an inverse relationship with bonds had been on a downward trend before a...
Current bond yield stagnation similar to late 1800s – Economist
December 2nd 2019 - TS Lombard Managing Director of Global Macro Dario Perkins said that the stagnation being experienced in the bond markets today is similar to the one in the depression of the late 1800s. The US two/ten-year bond curves have seen multiple...
Watchdog: No more mini-bond marketing to regular savers
November 29th 2019 - Most armchair investors get excited at the idea of speculative bonds, which promise far much greater returns compared to the conventional ones. However, most of the mini-bonds have been at the center of mega scandals such as the downfall of...
Goldman Sachs strategists: Expect a “baby bear” market in bonds next year
November 26th 2019 - According to strategists from Goldman Sachs, next year’s bonds could be characterized by a “baby bear” market, slightly higher interest rates resulting from an improving economy, little to zero central bank interventions, and subdued worldwide inflation. The firm’s analysts explained...
The $4 trillion boost that is pushing US stocks to record highs
November 24th 2019 - Last month’s rescue of the overnight lending market by the Federal Reserve Bank seems to be having unexpected effects: the stock market is being boosted. The overnight lending rate spiked in September breaking the financial market’s plumbing as banks and...
Do bond markets care anymore about deficits?
November 22nd 2019 - The UK’s official opposition leader Jeremy Corbyn on Thursday unveiled his manifesto full of mega investments that he plans to fund through debt capital should he clinch the top seat in the coming elections. But the UK bond market has...