Why do US interest rates and inflation forecasts affect bond yields? Cherry Reynard explains the workings of a confusing asset class.
When you invest in a bond, you are lending money to the bond issuer, generally for a specified time period. In return, the issuer is legally obliged to pay interest, or coupon, at a pre-agreed rate and to repay the original amount borrowed, principal, face value, nominal value, or par value on the repayment date (maturity).
The people of Turkey recently re-elected Recep Tayyip Erdoğan as President for another five years, while delivering a parliamentary majority for the alliance led by his Justice and Development Party (AKP).
Falling bond yields have been a rock-solid feature of US and UK markets for decades. But that might be about to change.
We take a look at the highlights of Warren Buffett’s latest annual shareholder letter.
Cherry Reynard assesses the outlook for UK and global bonds against the backdrop of a more challenging year ahead.
Fixed income continues to receive substantial inflows – but is this a sign that things are about to go sour?
NS&I has today reintroduced one-year and three-year guaranteed growth bonds and guaranteed income bonds.
A rate rise is likley to propel bond investors into bonds that are relatively insensitive to interest rate movements.
The bond market may have peaked, but specialist debt funds still offer investors the income they crave.