• Privacy Policy
  • Terms and Conditions
  • DMCA
  • Contact Us
  • Whitelist
Tuesday, May 17, 2022
  • Home
  • Wealth Management
  • Markets
  • Budgeting
  • Banking
Impulse Wealth
  • Home
  • Wealth Management
  • Markets
  • Budgeting
  • Banking
No Result
View All Result
Impulse Wealth
No Result
View All Result

Yield opportunity in the bond market

May 19, 2021
in Markets
0
Yield opportunity in the bond market

The global economy is recovering significantly, starting from the United States. Corporate profits are pointing upwards, demand for commodities is increasing and sentiment indicators are rising strongly. Public spending will continue to support the economy and central bank policy is also market-friendly.

The main risk lies in permanently higher inflation due to a possible overheating of the economy and because of high budget deficits.

This leads to a negative assessment for government bonds from the developed world and also for corporate bonds with good to very good credit ratings. In general, securities with low interest rate sensitivity are preferred in this environment.

A rapid and sharp rise in bond yields poses therefore the biggest threat. Higher bond yields weigh on the stock market, mainly on the growth stocks, and lead to increased volatility.

Development of bond yields of US- and EUR-Government-Bonds and EUR-Corporate-Bonds
Investment-Grade (5/2016-5/2021)

Development of bond yields of European High-Yield-Bonds compared with global High-Yield-Bonds and Emerging-Markets-Corporate-Bonds (5/2016-5/2021)

Please note:
The development of historic yields is not a reliable indicator for future developments of a specific asset category or asset class. The charts above do not include any fees or costs.

Ratio-Overview (more information and all risk notes can be found at www.erste-am.com)

Legal note:
Prognoses are no reliable indicator for future performance.

ERSTE RESERVE EURO PLUS,  ERSTE BOND EURO MÜNDELRENT, ERSTE BOND INFLATION LINKED, ERSTE BOND EURO RENT, ERSTE MORTGAGE, ERSTE BOND USA CORPORATE, ERSTE BOND DANUBIA, ERSTE BOND CHINA  intends to invest more than 35% of its assets in securities and/or money market instruments of public issuers. A detailed list of these issuers can be found in the prospectus, para. II, point 12.

ERSTE MORTGAGE may make significant investments in derivatives (including swaps and other OTC derivatives) pursuant to section 73 of the 2011 Austrian Investment Fund Act.

Source
Yield opportunity in the bond market is written by Paul Severin for blog.en.erste-am.com

Previous Post

Semiconductor shortage continues to pose challenge for automotive and electronics sectors

Next Post

12 Best Small-Business Checking Accounts of 2021

Next Post
12 Best Small-Business Checking Accounts of 2021

12 Best Small-Business Checking Accounts of 2021

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Newsletter

  • Trending
  • Comments
  • Latest
How many chips are installed in a car?

How many chips are installed in a car?

August 9, 2021
Millennials and Bank Branches: A Bad Match

Millennials and Bank Branches: A Bad Match

December 5, 2019
Inflation at its peak – what are the reasons?

Inflation at its peak – what are the reasons?

April 7, 2022
HSA vs. FSA Differences | Chime

HSA vs. FSA Differences | Chime

November 4, 2021
China’s Strict Zero-Covid Strategy Is Slowing Down Economic Recovery

China’s Strict Zero-Covid Strategy Is Slowing Down Economic Recovery

0
Millennials and Bank Branches: A Bad Match

Millennials and Bank Branches: A Bad Match

0
Retail Branches Pose an Existential Threat to Banks

Retail Branches Pose an Existential Threat to Banks

0
Why Rate-Chasing Doesn’t Pay – Wealthfront Blog

Why Rate-Chasing Doesn’t Pay – Wealthfront Blog

0
China’s Strict Zero-Covid Strategy Is Slowing Down Economic Recovery

China’s Strict Zero-Covid Strategy Is Slowing Down Economic Recovery

May 16, 2022
How to Plan a Wedding on a Budget

How to Plan a Wedding on a Budget

May 13, 2022
What is behind the recent crypto crash?

What is behind the recent crypto crash?

May 13, 2022
A Social Media Break Could Save You Money. Here’s How

A Social Media Break Could Save You Money. Here’s How

May 12, 2022

Categories

  • Banking
  • Budgeting
  • Markets
  • Wealth Management

Archives

  • May 2022
  • April 2022
  • March 2022
  • February 2022
  • January 2022
  • December 2021
  • November 2021
  • October 2021
  • September 2021
  • August 2021
  • July 2021
  • June 2021
  • May 2021
  • April 2021
  • March 2021
  • February 2021
  • January 2021
  • December 2020
  • November 2020
  • October 2020
  • September 2020
  • August 2020
  • July 2020
  • June 2020
  • May 2020
  • March 2020
  • January 2020
  • December 2019
  • November 2019
  • Privacy Policy
  • Terms and Conditions
  • DMCA
  • Contact Us
  • Whitelist

© 2021 All Rights Reserved impulsewealth.net

No Result
View All Result
  • Home
  • Wealth Management
  • Markets
  • Budgeting
  • Banking

© 2021 All Rights Reserved impulsewealth.net