New York
THE US Federal Reserve's decision not to raise its target interest rate drew plenty of attention last quarter, but the real news for bond investors was what actually did happen.
Namely, high-quality bonds delivered on their core role as life jacket in residence for diversified portfolios.
When the Standard & Poor's 500-stock index fell 12 per cent from late July to late August, the US$170 billion invested in the Vanguard Total Bond Market index fund and exchange-traded fund (ETF) gained nearly 0.8 per cent.
Among actively managed funds, the US$98 billion Pimco Total Return bond fund shed less than half a per cent and the US$67 billion Metropolitan West Total Return bond fund gained 0.4 per...
Keyword added to your list