Register For Our Mailing List

Register to receive our free weekly newsletter including editorials.

Home / Bond Rates

Bond Rates

1-5 out of 5 results.

Long-term rates have soared, but is fixed or floating best?

With the focus on the cash rate of 0.85%, investors may overlook that fixed rate bonds are far ahead in the game. The question for high-quality bond investors is whether to go fixed or floating for the best returns.

So bond rates are not 'lower for longer'

Historically low bonds rates have boosted asset prices, but rates are likely to keep rising from this point. While this will cause pain over the next few years, it's a positive longer term as higher rates mean higher returns.

The impact of bond rates on asset valuations

When bond rates are low, the search for yield by investors and lower discount rates inflates other asset prices. However, there are far more factors affecting share prices than just bond yields.

Rising bond rates should be good for shares

It is widely believed that rising bond yields should be bad for share prices. But is this true in real life? The relationship between government bond yields and the price of shares is more complex than it first seems.

Bond rates rising in Australia

* With our close focus on cash rates, it's easy to overlook longer term rates rising. Rates are up about 0.6% since June 2012, creating capital losses on long duration portfolios.

Most viewed in recent weeks

Vale Graham Hand

It’s with heavy hearts that we announce Firstlinks’ co-founder and former Managing Editor, Graham Hand, has died aged 66. Graham was a legendary figure in the finance industry and here are three tributes to him.

Australian stocks will crush housing over the next decade, one year on

Last year, I wrote an article suggesting returns from ASX stocks would trample those from housing over the next decade. One year later, this is an update on how that forecast is going and what's changed since.

Avoiding wealth transfer pitfalls

Australia is in the early throes of an intergenerational wealth transfer worth an estimated $3.5 trillion. Here's a case study highlighting some of the challenges with transferring wealth between generations.

Taxpayers betrayed by Future Fund debacle

The Future Fund's original purpose was to meet the unfunded liabilities of Commonwealth defined benefit schemes. These liabilities have ballooned to an estimated $290 billion and taxpayers continue to be treated like fools.

Australia’s shameful super gap

ASFA provides a key guide for how much you will need to live on in retirement. Unfortunately it has many deficiencies, and the averages don't tell the full story of the growing gender superannuation gap.

Looking beyond banks for dividend income

The Big Four banks have had an extraordinary run and it’s left income investors with a conundrum: to stick with them even though they now offer relatively low dividend yields and limited growth prospects or to look elsewhere.

Sponsors

Alliances

© 2024 Morningstar, Inc. All rights reserved.

Disclaimer
The data, research and opinions provided here are for information purposes; are not an offer to buy or sell a security; and are not warranted to be correct, complete or accurate. Morningstar, its affiliates, and third-party content providers are not responsible for any investment decisions, damages or losses resulting from, or related to, the data and analyses or their use. To the extent any content is general advice, it has been prepared for clients of Morningstar Australasia Pty Ltd (ABN: 95 090 665 544, AFSL: 240892), without reference to your financial objectives, situation or needs. For more information refer to our Financial Services Guide. You should consider the advice in light of these matters and if applicable, the relevant Product Disclosure Statement before making any decision to invest. Past performance does not necessarily indicate a financial product’s future performance. To obtain advice tailored to your situation, contact a professional financial adviser. Articles are current as at date of publication.
This website contains information and opinions provided by third parties. Inclusion of this information does not necessarily represent Morningstar’s positions, strategies or opinions and should not be considered an endorsement by Morningstar.