Rising inflation fears and market uncertainty could boost the investment appeal of government bonds, an obvious safe-haven asset.
Retail investors comprise only a negligible value of direct holdings of Australian government securities, which includes government bonds, with around 60% held by non-resident investors, according to the Australian Office of Financial Management...
By Ares Australia Management
Market dislocations have become shorter and more frequent since the Global Financial Crisis (“GFC”), also referred to as the Great Recession.
The GFC along with prior dislocations, lasted two or more years. However, in March 2020 after COVID-19, the market retraced in just six months.
Note: As of...
Fixed Income News Australia recently published Two fixed Income Funds return 10%+ over the last year and the article generated significant interest.
Readers liked the direct comparison and an ex-colleague, Jon Sheridan from FIIG Securities, rightly pointed out that a year ago sub-investment grade credit hit a low point.
Spreads for...
Article contributed by asset manager Ninety One
China’s inclusion into major bond indices is an exciting step for this asset class. We look at five reasons why this is an increasingly important asset class for investors’ portfolios.
China is not a typical emerging market. As the world’s largest official creditor nation,...
Guest author Phil Strano from Yarra Capital Management illustrates why it’s important for bond investors to understand if they are investing in a holding or an operating company. He cites recent issues from Aurizon and Charter Hall and explains Yarra Capital’s strategy.
Robust primary corporate issuance in the Australian Medium...
Interest rates are incredibly low and there is an enormous amount of cash looking for a home. So much so, that any new bond issues are quickly over bid – more money is being offered to companies than what they want to raise.
Consequently, companies can upsize the offer, decrease...
From Justin Tyler, Director, Daintree Capital. Please refer to the glossary at the end of the article for a definition of some technical terms.
With inflation concerns rising around the globe, investors need to assess the actual drivers to determine if and how equities might be impacted.
One common question we...
Bill Bovingdon is the chief investment officer at Altius Asset Management. Altius is an experienced, specialist fixed interest asset manager that is 100% owned by Australian Unity. It actively manages diverse portfolios of fixed interest securities with a particular emphasis upon sustainable investment and through its financial and ESG...
The 5 Cs of credit is a simple framework to understand the creditworthiness of an individual, company and even government. These days, credit ratings are used mostly to summarise a corporate’s credit worthiness. But it is worth reviewing the 5 Cs of credit because the fundamentals of lending have...
All sorts of companies and people extend credit. Fixed income credit is essentially the activity of lending to groups other than governments, which generally refers to companies issuing corporate bonds. Investors are paid an interest rate over and above the government bond ‘risk free’ rate. Corporate bonds can be...
