General
New issues update
Having gone through the key characteristics of RMBS notes and some of the key technical terms, we are looking now at how these notes have generally performed over time.
General
New issues update
A better diversified portfolio through the inclusion of bonds, can smooth out volatility, improve returns, and lower risk.
General
New issues update
Opinion
Diversification is the easiest way to smooth volatility in a portfolio and therefore it has been brought sharply to the forefront of investors’ minds. Now is the perfect time to assess both the make-up of your portfolio and risk exposure within the portfolio.
Trade opportunities
We've updated our Sample Portfolios for the month.
General
New issues update
For the first time in my career I can honestly say that there is a clear and compelling reason for the RBA to raise rates – which I’ll outline shortly – but also a clear and compelling reason for the RBA to lower rates too.
FIIG achieved a median return for clients of 9.51%* over 2023-24. Returns in 2023-24 were strong for a number of reasons, and while past performance does not guarantee future returns, there are some strong reasons to suggest that returns in 2024-25 will once again be much higher than bond returns could achieve for much of the last decade.
Trade opportunities
The current portfolio yields an indicative 5.80%* to the assumed maturity dates with an approximate $205k spend.
General
New issues update
Trade opportunities
We've updated our Sample Portfolios for the month. We expected July to be a relatively quiet month as companies have their year-ends and usually wait until they have published their results before asking to borrow money in the bond market.
In our final article of the bond myths series we look at bond maturities and hybrids.
The yield target of government bond yields remains at a yield range of 5-6%, though the underlying components have shifted meaningfully. Specifically, government bond yields have climbed a tad while credit spreads have tightened aggressively.