Education (basics)
Listed notes have many superficial structural similarities to OTC bonds. They pay income on a set scheduled and they have a final maturity date where the principal is repaid. In particular, the current Listed Notes all are floating rate notes, which means the interest rate payable does change over time, but according to a predictable pattern set in advance.
Education (basics)
In this article, we explore how to construct a well-balanced portfolio using a mix of fixed coupon, floating rate notes, and inflation-linked bonds and the benefits each type of bond offers.
Education (basics)
Duration in a broad sense is a measure of how long it takes for an investor to have their bond investment repaid through its coupon and principal payments. It is expressed in terms of years and will typically be shorter than the tenor of the bond.
Education (basics)
The RBA keeps an eye on the Australian labour market as it is one of the most important indicators of the growth of the economy. Labour data is a direct target of monetary policy via the RBA’s employment mandate, but also an indirect one since it so clearly affects inflation dynamics. Over the last six months or so, the unemployment rate has trended sideways and still remains at extremely strong levels. While the unemployment rate remains low and inflation elevated, there is little reason for the RBA to cut interest rates.
Education (basics)
We have put together this article to help you understand the role bonds play in retiring with a passive income, whether you're thinking of the ideal retirement, planning for retirement, or have retired. In retirement planning, bonds should be a cornerstone investment, providing regular interest payments and returning your principal investment at maturity. This stability forms the bedrock of a passive cash flow strategy, allowing retirees to sustain their lifestyle and meet essential expenses regardless of market volatility.
Education (basics),Education
In this article, we take a look at the Semi-Government Bonds, who sells and buys them, what types of bonds are available, yields, and advantages and disadvantages of Semi-Government Bonds.
Education (basics),Education
In this article, we look at how best to construct a balanced portfolio through the inclusion of fixed coupon, or floating rate notes and inflation-linked bonds and the benefits each type of bond offers.
Education (basics)
Asset-backed securitisation is a funding technique that allows the pooling of a large number of loans into a single financing vehicle, which then issues a number of different tranches of debt with varying seniority.
Education (basics)
IABs offer protection against inflationary pressures, making them a crucial allocation during times of high inflation, but also offering many other benefits too. Here we discuss how they work and why they’re considered a core portfolio holding.
Education (advanced)
Despite the current rise in mortgage arrears resulting from the adjustment to higher interest rates and inflation as monetary policy normalizes, we maintain confidence in the RMBS sector. These instruments usually offer more favorable returns and a consistent income stream compared to standard corporate bonds. Our preference is generally for the safer investment-grade tranches in RMBS transactions, offering lower risk than sub-investment grade options.