Nordic Bond

Nordic bond mutual Funds and ETFs invest the majority of their assets... Nordic bond mutual Funds and ETFs invest the majority of their assets in the government and corporate debt of countries in the Nordic region. The Nordic region is composed of Sweden, Denmark, Finland, Iceland and Norway, the Faroe Islands, Greenland, and Aland. These funds can be actively or passively managed and may seek to track or outperform a particular benchmark. They may hedge foreign currency risk, or elect to leave themselves exposed to fluctuations in other nations’ currencies. Depending on their mandate, Nordic bond mutual Funds and ETFs may focus on investment-grade bonds, high-yield (a.k.a. junk bonds), or a mix of credit quality. Issuance of debt by sector varies within the Nordic region. For example, in Norway, non-financial corporate debt was almost 140% of GDP as of 2021, whereas government debt remains under 40% of GDP. Investors purchase these funds to get both capital growth and income. The risk of each fund will vary, depending on the type and duration of the bonds. Last Updated: 05/09/2024 View more View less

Nordic bond mutual Funds and ETFs invest the majority of their assets in the government and corporate debt of countries in the Nordic region. The Nordic region is composed of Sweden, Denmark, Finland,... Nordic bond mutual Funds and ETFs invest the majority of their assets in the government and corporate debt of countries in the Nordic region. The Nordic region is composed of Sweden, Denmark, Finland, Iceland and Norway, the Faroe Islands, Greenland, and Aland. These funds can be actively or passively managed and may seek to track or outperform a particular benchmark. They may hedge foreign currency risk, or elect to leave themselves exposed to fluctuations in other nations’ currencies. Depending on their mandate, Nordic bond mutual Funds and ETFs may focus on investment-grade bonds, high-yield (a.k.a. junk bonds), or a mix of credit quality. Issuance of debt by sector varies within the Nordic region. For example, in Norway, non-financial corporate debt was almost 140% of GDP as of 2021, whereas government debt remains under 40% of GDP. Investors purchase these funds to get both capital growth and income. The risk of each fund will vary, depending on the type and duration of the bonds. Last Updated: 05/09/2024 View more View less