Not exact matches
Beyond the requirements that liquidity and regulators impose on us, we will purchase
currency - related securities only if they
offer the possibility of unusual gain — either because a particular credit is mispriced, as can occur in periodic junk -
bond debacles, or because rates rise to a level that
offers the possibility of realizing substantial capital gains on high - grade
bonds when rates fall.
A carry trade is typically based on borrowing in a low - interest rate
currency and converting the borrowed amount into another
currency, with proceeds placed on deposit in the second
currency if it
offers a higher rate of interest or deploying proceeds into assets — such as stocks, commodities,
bonds, or real estate — that are denominated in the second
currency.
Blockchain Mining Ltd. reported yesterday that the Canadian company that was recently merged into it, Backbone Hosting Solutions Inc. (which trades as Bitfarms as a digital
currency miner) had decided not to proceed with an
offering of convertible
bonds announced in March.
In this context, a U.S. 10 - year
bond offering a roughly 2 % yield and, backed by a strong
currency, actually seems appealing.
Soon, the commodity exchanges began
offering options for foreign
currencies, stock indexes,
bonds, and farm goods.
State Street does
offer separate exposure to corporates and government debt, but neither the SPDR Barclays International Treasury
Bond ETF (BWX) nor the SPDR Barclays International Corporate
Bond ETF (IBND) are
currency hedged.
Vanguard
offers the
currency - hedged Vanguard Total International
Bond ETF (BNDX) at a price of 0.15 %, and iShares
offers the very similar $ 188 million iShares Core International Aggregate
Bond ETF (IAGG) for an expense ratio of 0.11 %.
In this context, a U.S. 10 - year
bond offering a roughly 2 % yield and, backed by a strong
currency, actually seems appealing.
Saxo Bank holds a banking license from Denmark's Financial Supervisory Authority (FSA) and acts as a brokerage firm and a market maker,
offering trading in more than 30 000 instruments, including
currency pairs, binary options, contracts for difference (CFDs), stocks, futures, and
bonds through its proprietary online trading platform.
What's more, there are several index ETFs that allow Canadians to buy US corporate
bonds with
currency hedging, including the iShares U.S. IG Corporate
Bond (XIG), the iShares U.S. High Yield
Bond (XHY), and similar
offerings from Claymore and BMO.
I
offered a couple of my own: an international equity ETF that doesn't use
currency hedging, and an international
bond ETF.
Right now,
bonds issued by emerging market governments in their local
currencies appear to
offer far and away the most compelling investment opportunity.
Despite
currency volatilities, China
bonds offer better yields and diversification benefits.
Hence, aside from the portfolio diversification benefit and
currency exposure, allocating to U.S. Treasuries this year
offered better yields and total returns than Japanese sovereign
bonds.
If you want to pick your own non-core high - yield North American corporate
bond fund, TD offers the TD High Yield Bond Fund, which focuses mainly on BB and B rated issues at the higher quality end of below - investment grade and mostly hedges its U.S. currency exposure back to the Canadian dol
bond fund, TD
offers the TD High Yield
Bond Fund, which focuses mainly on BB and B rated issues at the higher quality end of below - investment grade and mostly hedges its U.S. currency exposure back to the Canadian dol
Bond Fund, which focuses mainly on BB and B rated issues at the higher quality end of below - investment grade and mostly hedges its U.S.
currency exposure back to the Canadian dollar.
The Templeton Global
Bond Fund has demonstrated a particular knack for picking sovereign
bonds offering decent yields in strengthening economies, and may take sizeable positions in diverse
currencies such as the South Korean won or Mexican peso.
The same applies for large asset management companies, which might have a very succesful
bond fund and want to
offer the fund to investors in different
currencies.
Evidence from the international equity,
bond,
currency, and commodity markets indicates that the value premium is a global phenomenon that can
offer important portfolio diversification.
The Horizons BetaPro bull and bear ETFs
offer inverse and leveraged exposure to 15 stock,
bond,
currency and commodities indices, allowing investors to capitalize on trends on both the upside and on the downside.
Regardless of market participants» option to hedge the
currency or not, historical data shows that U.S. Treasury
bonds have had low to negative correlations with other major asset classes
offered in Japan.
IBRD and the International Finance Corp. (IFC) are the world's largest issuers of green
bonds, which support climate - related projects - with $ 5.3 billion issued by the World Bank Treasury in 61
bonds and 17
currencies, and $ 3.4 billion by the IFC Treasury, including two $ 1 billion benchmark
offerings in 2013.