Thursday, 26 April 2018 05:44

Investors are Diving into Short-Term Bonds

Written by
Rate this item
(0 votes)

(New York)

Alongside the rise in bond yields, investors have been pouring money into short-term bonds, says Barron’s. With rates and yields rising, short-term bonds have less rate risk. But even more, their yields look very attractive versus long-term bonds. Two-year treasury yields are now over 2.5%, versus just 3% on a ten-year note.


FINSUM: Why wouldn’t one be putting money in short-term bonds right now? They are relatively insensitive to rate hikes and are offering solid above-inflation yields.

Contact Us

Newsletter

Subscribe

Subscribe to our daily newsletter

Top