As more investors pile into safe-haven government debt as a default risk-off maneuver, Treasury Secretary Steve Mnuchin says a 50-year bond offering is under serious consideration. It’s something the Treasury department has been mulling for some time, but Mnuchin confirmed the idea could actually come into fruition.
October brings playoff baseball into sports, but for the capital markets, volatility could bring curve balls to investors. As such, when playing in the fixed income exchange-traded fund (ETF) market, it’s ...
Higher bond prices are conversely pushing down yields to fresh lows for Treasury notes, causing investors to seek yield in higher, riskier debt issues. As global growth fears persist, bonds will likely continue to be the default safe haven as they have been for years when market downturns have taken place. Per a Fortune report, “Global interest rates, already low for most of the decade since the Great Recession, are falling again, making it harder for pension funds and small investors to harvest the slow-and-steady interest income that makes bonds the foundation of many retirement funds.
Summer volatility spurred activity in the bond markets, but BBB bonds, the lowest of investment-grade bonds, is one looming risk that could still linger in 2020 or could it? BBB bonds comprise almost 50% ...
The Treasury Department has been contemplating the release of an ultra-long bond, but it appears debt issues with a 50-year maturity date may be coming sooner than we think. The news comes as yields have been at record lows and talks of zero to negative interest rates are creeping into bond market vernacular. The news comes after the Federal Reserve lowered interest rates for a third time.
As 2019 comes to a close, it’s going to be another banner year for bonds, which have moved higher along with stocks thanks to an uncertain economic backdrop that saw investors pile heavily into bonds, especially during the summer.
“As 2019 begins to draw to a close, investors are looking at how their investment portfolios have performed,” wrote Dan Caplinger in Motely Fool. “Yet what's surprising is that in a year in which stocks are performing well, the bond market has also managed to produce solid returns,” Caplinger added.
Investor interest in bond ETFs reached fever pitch during the summer as volatility in equities spurred a demand for safe haven assets. However, low rates have high yield bond seekers looking for ways to earn a higher-than-average return on debt, which they may find in the VanEck Vectors Fallen Angel High Yield Bond ETF (ANGL B).
Investors are feeling optimistic about the economy heading into 2020 and it’s translating to gains in corporate bonds that haven’t been seen in the last 10 years or so, according to a Wall Street Journal ...
The bond markets have been sending a tried-and-true recession signal with an inverted yield curve, but that might not be the case in 2020 according to DoubleLine Capital CEO and Wall Street “Bond King” Jeffrey Gundlach. While the markets have been sensitive to U.S.-China trade news, Gundlach doesn’t see a trade deal happening in the near time frame, but that also shouldn’t derail the economy and send the U.S. into a recession.
The bond markets have been sending a tried-and-true recession signal with an inverted yield curve, but that might not be the case in 2020 according to DoubleLine Capital CEO and Wall Street “Bond King” ...
The Treasury Department has been contemplating the release of an ultra-long bond, but it appears debt issues with a 50-year maturity date may be coming sooner than we think. The news comes as yields have been at record lows and talks of zero to negative interest rates are creeping into bond market vernacular.
The lowest of investment-grade bonds heading into junk status was one looming risk heading into 2020 before the capital markets were overcome with coronavirus fears. Now, as more investors pile into bonds, the fear is only exacerbating the flight to risk-off assets.
The search for yield is certainly a global phenomenon given the low rates offered in government debt around the world. It opens the doors for ESG funds to shine by offering high yield bond options as in the case of BlackRock’s iShares € High Yield Corp Bond ESG UCITS ETF (EHYD) and the iShares $ High Yield Corp Bond ESG UCITS ETF (DHYD). The concept married high yield with the growing ESG space that is starting to gain more traction in the capital markets worldwide.
ANGL seeks to replicate as closely as possible the price and yield performance of the ICE BofAML US Fallen Angel High Yield Index. The index is comprised of below investment grade corporate bonds denominated in U.S. dollars that were rated investment grade at the time of issuance. ANGL essentially focuses on debt that has fallen out of investment-grade favor and is now repurposed for high yield returns with the downgraded-to-junk status.
It looks like the government of India is set to debut its first bond exchange-traded fund (ETF), which will be launched by investment firm Edelweiss Asset Management. The ETF will come in two flavors—one with a 3-year note and the other a 10.
With global yields at basement lows, investors around the world have been flocking to U.S. corporate bonds to provide them with the yield they’re after. Market experts are predicting only modest gains ...
Rate cuts in 2019 may have tamped down any sizeable gains in the fixed income exchange-traded funds (ETFs), but bonds in general are still an essential component in an investor's portfolio. In an interview with Morningstar's director of personal finance, Christine Benz, she discusses why fixed income is necessary.
In the most recent FOMC meeting announcement on Dec. 11, the Federal Reserve held interest rates constant following its two-day meeting, and implied that no action is likely next year amid persistently low inflation and solid growth.
Investors are feeling optimistic about the economy heading into 2020 and it’s translating to gains in corporate bonds that haven’t been seen in the last 10 years or so, according to a Wall Street Journal report.