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Tag : bond

After years of elevated bond–equity correlations, signs of decoupling are emerging in Asia. But the pattern is uneven, with inflation expectations, central bank credibility and market structures shaping whether bonds can reliably diversify portfolios again.
Are bonds regaining their hedge role in Asia?
Amid global growth in fixed income ETFs, RMB bond index funds have shown rapid growth in the past three years. By the end of June 2020, there were 133 domestic bond index funds with a total value of ¥455.5 bn in China - 23 times greater than in 2018 - and 27 overseas-listed RMB bond ETFs with a total value of ¥53.6 bn, 99% of which comprised Chinese government bonds and policy bank bond ETFs.
Indexed investment – New perspectives on China’s bond market