Why Is A Bond Private Placement Fund A Good Choice?

The popularity of bond products has recently brought about a great deal of corporate debt. Some corporate bonds that do not have good fundamentals have also enjoyed national credit, and interest rates have continued to hit new lows.

Private equity funds can invest in the interbank market and the exchange market and so on.

At the same time, another advantage of bond products is leverage.

This is mainly manifested in structured bond private placement, also divided into priority share and bad post share. The former yield is fixed, which is about 4%-6.5% annual yield, which is higher than the yield of treasury bonds in the same period, which is basically the same as the priority share yield of the public debt fund issued on the basis of classified debt basis. The inferior grade has certain leverage, and it can also operate through repurchase and other magnifying leverage, the general yield will be relatively high, and of course, the volatility may also be greater.

The decline in asset end returns and the decrease in quality investment channels make it almost impossible to withdraw funds from the stock market.

In this market environment, the advantages of bond fund products are being highlighted.

CICC recently released research report that under the background of the pressure of economic downturns, deflation pressure is hard to reduce, the basic policy of easing policy is unchanged, stock market shocks, market risk preferences have dropped significantly, risk aversion has intensified and capital flows into the bond market, so the long-term trend of bond market is better.

Specifically, recent releases of industrial, investment and consumption data reveal the essence of economic weakness and provide basic support for the bull market. In addition, the launch of the central bank's reform of the quasi assessment method will help stabilize the capital market. If the assets can continue to improve, the power of debt cattle will increase.

In fact, in the bear market, bond products will perform better.

Because of the flexibility of the operation tools and the relaxation of policy, the bond funds of private placement institutions have the possibility of obtaining higher returns.

Data statistics show that in the recent stock market crash, the yield of bond private equity funds is still higher than most stock classes.

Performance.

In August this year, the stock index fell 12.49%, and the gem fell more than 20%. During the same period, the average yield of equity funds fell by 7.62%, while the monthly average yield of private equity funds increased by 0.12%. Nearly 80% of the products were positive returns, of which more than 20% of the monthly yield exceeded 1%, and the highest monthly yield reached 13.63% and 11.87%.

This benefits from two aspects.

On the one hand, in

For a series of restrictions on stock index futures, bond products were hardly affected.

Moreover, in June this year, the central bank announced that private equity funds with a net asset of not less than 10 million yuan should enter the inter-bank bond market.

This means that private placement can open its own interbank account, and it must pass through trust or fund accounts.

Shanghai and Shenzhen Stock Exchange also issued new rules, allowing

As qualified investors, they will enter the exchange market and participate in the pactions of all listed and listed fixed income products on the exchange.

In addition, the arbitrage strategy of private equity funds can also be applied to the bond market.

This is mainly achieved by earning spreads between different bond products.

Grasp the macro fundamentals, such as the grasp of monetary policy and market liquidity, distinguish the risk return rate of different bond products in a specific period, and adopt the means of doing more or less to earn the spread.