If rates have indeed crested, fixed-income investors may benefit from a combination of coupon income and modest price appreciation.
It's time for conservative, older investors to start thinking about their bonds. Indeed, bonds aren't an exhilarating asset class. Whenever you hear about action in the bond market, it's often about ...
As interest rates begin to soften, fixed income investors are increasingly revisiting the role of bond duration in shaping portfolio returns. In an insightful conversation, Gautam Kaul, Senior Fund ...
Bond duration describes the average time period before all the cash flows are received from a bond. Most importantly, it defines how the bond's price will change with increases or decreases in ...
After raising short-term interest rates since March 2022, the Federal Reserve has started easing monetary policy with a 50-basis-point rate cut in September 2024 and a 25-basis-point rate cut on Nov.
About the author: Lara Castleton is U.S. head of portfolio construction and strategy at Janus Henderson Investors. After the pain of 2022’s great interest-rate reset, investors are now benefiting from ...
How should investors manage bond duration in an era of rising – and soon likely falling – interest rates? The challenge is that the longer the duration your bonds are, the higher yield usually is, but ...
The Vanguard Long-Term Bond Index Fund ETF Shares is a fixed income ETF with the highest duration among its peers. BLV has underperformed in the past three years due to rising interest rates and its ...
What Are Duration and Convexity? Duration and convexity are two tools used to manage the risk exposure of fixed-income investments. Duration measures the bond's sensitivity to interest rate changes.
Please provide your email address to receive an email when new articles are posted on . Bonds have a coupon rate, which is the interest an issuer pays you for loaning them money. Bonds have a maturity ...
The first five months of 2024 have featured above-average volatility for fixed income due to inflation continuing to run hot and increased uncertainty about the Fed’s next move. Despite these ...