ABX Weekly 03/04/2019
ABX weekly 03/04/19 Market Update The Apr RBA policy decision was as expected keeping rates unchanged and the Governor’s statement was fairly low key ahead of the Federal Budget at 7:30 pm. The Australian Government has promised to deliver a surplus of $7.1 billion next year, pay off all debt in a decade, and provide tax cuts and […]
Buying bonds for your Self-Managed Super Fund?
The 4 Key Questions for First-Time Buyers Bonds might seem confusing but they’re actually very simple. If you’re unfamiliar with how bonds work or which bonds are right for your investment goals, here are a few questions that can help. Bond basics A bond is essentially a way for an organization to issue debt without […]
ABX Weekly 27/03/2019
ABX weekly 27/03/2019 Market Update The U.S. posted its biggest monthly budget deficit on record last month, thanks in part to the combination of falling corporate and individual tax revenue and increasing federal spending. Following on from our inverted yield curve comment last week The US curve has also inverted in the 3 months against the US 10s. […]
ABX Weekly 20/03/2019
ABX weekly 20/03/2019 20th March 2019 Market Update The yield compression story continued this week and we saw the Australian 3-year Government bonds trading below the cash rate! While that may be partially due to lower market liquidity on the back of future rolls it still surprised us how negative currently the sentiment is in […]
ABX Weekly 13/03/2019
ABX weekly 13/03/19 13th March 2019 Market Update One of my core themes of late has been the growing divergence between the markets’ expected path of policy easing from developed market central banks, and the actual outlooks of these institutions themselves. I would stress that central banks have been moving cohesively to a more dovish […]
What is a bond?
If you are not aware of what a bond is, you are not alone. With a minimum parcel size of $500k, it just wasn’t accessible for mums and dads. I thought I write this quick educational piece to explain what these defensive assets are without so much jargon. In its simplest form bonds are an […]
Earning Interest Everyday
“Compound interest is the eighth wonder of the world” ~ Albert Einstein One of the major benefits of owning bonds is the earning of interest every day. As you have a regular coupon (payout) schedule you know exactly how much your bonds have accrued in income. It also means every day you’re a bondholder you […]
ABX Weekly 06/03/2019
ABX weekly 06/03/2019 Market Update In what seems a recurring theme bonds opened heavy lead by German bonds, stabilized and then proceeded to rally back by the close. Despite this similar pattern there was more for markets to review over the week, European PMI’s on net came out better than expected, US Non Manufactuing ISM was […]
ABX Weekly 27/02/2019
ABX weekly 27/02/2019 Market Update Wall Street’s three major indexes are slightly lower after a choppy session as investors eyed mixed US economic data, corporate news and waited for clarity on issues such as the US-China trade talks. Lower-than-expected housing data contrasted with a better consumer confidence report, while Home Depot was among the biggest drags […]
ABX Weekly 20/02/2019
ABX Weekly 20/02/19 20th February 2019 Market Update US stocks gained ground on Tuesday as upbeat results from Walmart boosted investor sentiment and high-level US-China trade talks resumed in Washington. All three major US equity indexes closed higher, with the Nasdaq ending its seventh consecutive day in the black. The benchmark S&P/ASX200 index closed up 17.1 points, or […]