Why long-duration, high quality bonds in an uncertain market? (Webinar recap) | BetaShares

Why long-duration, high quality bonds in an uncertain market? (Webinar recap)

BY betashares | 3 June 2020
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There are arguably few more reliable portfolio “safe havens” in times of equity market trouble than highly-rated government bonds issued by major developed nations.

BetaShares Chief Economist, David Bassanese, and BetaShares Director – Key Accounts and Adviser Business, Mai Platts, recently showcased the key investment benefits of the fixed income asset class and opportunities in fixed income ETFs.

Long-duration bond benefits

Long-duration, high-quality bond benefitsOur recently-launched BetaShares Global Government Bond 20+ Year ETF – Currency Hedged (ASX: GGOV), continues BetaShares’ strategy of providing cash and fixed income ‘building blocks’ for investor portfolios.

Defence for your portfolio during COVID-19?

Bond returns historically have tended to be less volatile than equities.

GGOV's Index vs ASX200

Past performance is not indicative of future performance. The above chart shows the performance of the Bloomberg AusBond Composite Index, and not the performance of GGOV or GGOV’s index.

For investors seeking portfolio diversification and defence with the view that the coronavirus outlook may still include downside risks, high-quality, long-dated sovereign bonds issued by the governments of today’s major developed market economies may be an option for consideration.

If you missed it, watch a recording of the webinar below, including the commentary and Q&A.

There are risks associated with an investment in GGOV, including interest rate sensitivity risk, credit risk, country risk and currency hedging risk. For more information on risks and other features of GGOV, please see the Product Disclosure Statement.

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