Asia Pacific Bond

Asia-Pacific bond mutual funds and ETFs invest the majority of their assets... Asia-Pacific bond mutual funds and ETFs invest the majority of their assets in government and corporate debt of the so-called Asia-Pacific region. This region (the most populous in the world) includes Australasia, Southeast Asia, and East Asia. 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, these funds may focus on investment-grade bonds, high-yield (a.k.a. junk bonds), or a mix of credit quality. At the end of 2022, total sovereign debt in the Asia-Pacific region was estimated to be around US$20 trillion. Investors can purchase these funds in order to obtain capital growth and income, and benefit from continuing growth in the region. These funds can vary significantly in terms of risk: A fund focused on developed markets like Australia and New Zealand is likely to be more conservative than one focused on emerging markets in Southeast Asia. Last Updated: 04/19/2024 View more View less

Asia-Pacific bond mutual funds and ETFs invest the majority of their assets in government and corporate debt of the so-called Asia-Pacific region. This region (the most populous in the world) includes Australasia, Southeast... Asia-Pacific bond mutual funds and ETFs invest the majority of their assets in government and corporate debt of the so-called Asia-Pacific region. This region (the most populous in the world) includes Australasia, Southeast Asia, and East Asia. 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, these funds may focus on investment-grade bonds, high-yield (a.k.a. junk bonds), or a mix of credit quality. At the end of 2022, total sovereign debt in the Asia-Pacific region was estimated to be around US$20 trillion. Investors can purchase these funds in order to obtain capital growth and income, and benefit from continuing growth in the region. These funds can vary significantly in terms of risk: A fund focused on developed markets like Australia and New Zealand is likely to be more conservative than one focused on emerging markets in Southeast Asia. Last Updated: 04/19/2024 View more View less