Bond Market

Understanding Asset-Backed Securities An Introduction to Asset-Backed Securities Asset-backed Securities (ABS) are financial instruments that represent a claim on a pool of underlying assets, which typically are packs of loans. These assets bundle together and convert into securities for sale to investors on the open market, allowing institutions to remove these loans from their balance …

Capitalizing on Bond Market Volatility Like any other financial market, the bond market is subject to a variety of influences, which can cause periods of volatility. While few investors prefer stability, astute ones understand that volatility often presents investment opportunities. In order to make the most of bond market volatility, investors need a deep understanding …

Utilizing Bonds for Portfolio Diversification Introduction to Bonds Before diving into the specifics on how bonds can be used for portfolio diversification, it is critical to first understand what bonds actually are. In layman’s terms, a bond is a debt instrument that organizations (like governments or corporations) issue to raise capital, with the issuer promising …

The Opportunities in Green and Sustainable Bonds When it comes to sustainable investing, green and sustainable bonds have become an increasingly attractive option for many investors. These innovative finance vehicles offer a unique blend of attractive yield potential, lower risk, and a genuine opportunity to effect positive change, particularly in terms of environmental sustainability. A …

Current Opportunities in Bond Markets Before we delve into identifying the opportunities available in the bond market, it’s essential to understand what a bond is. A bond is a fixed income instrument representing a loan made by an investor to a borrower, usually corporate or governmental. Companies, municipalities, states, and sovereign governments use bonds to …

Understanding Sovereign Bonds What are Sovereign Bonds? Sovereign bonds are debt securities issued by a national government to raise funds to support governmental activities and stimulate the domestic economy. By purchasing a sovereign bond, an investor is effectively loaning money to the government in exchange for periodic interest payments and the return of the bond’s …