Private clients like regular cashflows and capital preservation, which RMBS provide. Unlike fund managers, they are less concerned about mark-to-market price moves. Here we look at why higher rated notes of RMBS transactions remain attractive investments satisfying both these priorities
The differences between hybrids and bonds
Asmita Kulkarni discusses why inflation linked securities should be in every fixed income portfolio. These securities protect investors against inflationary pressures while maintaining a steadily growing income flow.
Amortising bonds are securities that return principal to investors throughout the life of the bonds. Director of Investment Strategy Group, Asmita Kulkarni, provides an explanation of how these bonds work.
This week our Director of Investment Strategy, Asmita Kulkarni discusses the latest rating agency RMBS report which shows arrears remain at very low levels supported by stable employment figures.
In this note we take a closer look at gold miners and bonds issued by these companies with a relative value analysis
USD denominated bonds issued by Australian companies have been caught up in the recent weakness in USD bond prices. This has been further exacerbated by trade tensions between the US and China, creating an opportunity for investors to enter or add to holdings
Residential Mortgage Backed Securities are a popular choice for wholesale investors as they can choose the risk and return they seek and the securities offer a premium over similarly rated corporate bonds. Here we explore some basic features of these securities and outline what makes them different to vanilla corporate bonds
Week in review
Positive US data continues despite some missed expectations, active trades in Hertz 2022s after sustained price weakness, Sprint 2025s see further demand, and investors redirect Plenary redemption funds to the Praeco 2020s. Sell off in Qantas 2020s while QBE USD 2026s an attractive investment grade option. Both Merredin and JCP USD yielding above 7%
Week in review
Next Fed rate rise priced in for the June meeting, QBE subordinated notes the USD standout, and Virgin’s USD high yield debt look attractive after new AUD issuance. Investors switch out of high yield and into BoQ, Challenger and IAG. The Praeco bond offers standout relative value, and the new Aroundtown 2025 AUD bond a popular choice