Not exact matches
² — The simple 4 fund
portfolio is a blend of
local currency and USD because the foreign
bond position is a
currency hedge position.
More importantly, investing into Chinese
bonds adds diversification benefits to a
portfolio through the exposure to
local rate, credit and
currency.
In his role as assistant fund manager he transferred to Aberdeen's Singapore office in 2004 to facilitate the incorporation of Asian fixed income into global
bond portfolios, before joining the Asian fixed income team in 2005 to focus on Asian
local currency interest rate and foreign exchange strategy.
The Markit iBoxx Asian
Local Bond Index tracks the total return performance of a bond portfolio consisting of local - currency denominated, high quality and liquid bonds in Asia ex-J
Local Bond Index tracks the total return performance of a bond portfolio consisting of local - currency denominated, high quality and liquid bonds in Asia ex-Ja
Bond Index tracks the total return performance of a
bond portfolio consisting of local - currency denominated, high quality and liquid bonds in Asia ex-Ja
bond portfolio consisting of
local - currency denominated, high quality and liquid bonds in Asia ex-J
local -
currency denominated, high quality and liquid
bonds in Asia ex-Japan.
These
local currency bonds will be more volatile, but could prove to be a better diversifier for a
portfolio that's mostly devoted to U.S. stocks and
bonds.
Thus, Chinese
bonds do not only provide the
portfolio diversification through the exposure to
local rate, credit and
currency, they would also be a good hedge to the global fixed income
portfolio.