Relevant Investment - Riding the yield curve exist?
Working in a REIT in Asia, the treasury department has expanded a line with Relevant Investment line.
With the aim to use the residual income to invest in bonds with below criteria, my manager has asked me to present a investment strategy for BoD reviewal.
-
Maturity in 5y ,hold till maturity
-
IG only, with exceeding treasury yield
-
Once located attractive bond, need to send to BoD for approval
With the limited liquidity, I find it hard to locate the bond to meet the above criteria i.e. need to send to BoD for approval when i locate a good IG bond zzz the only possible solution I can think of is to aim for the new issuance only but there arent many...
I am thinking to persuade the BoD to buy IG bond which has longer maturity, and short them once it hits 5y holding duration.
Any thoughts? Does riding the yield curve actually work?
Velit officiis assumenda voluptates culpa qui molestiae repellendus alias. Ea eos et quia repudiandae repellendus similique. Maxime occaecati omnis deserunt natus enim fugit aliquam. Nihil est reiciendis necessitatibus enim. Illo quod velit voluptatem aut consequatur at.
Provident eligendi facilis enim distinctio ut. Ut vero dolorum ad minus aut voluptate. Voluptatem ut blanditiis maxime accusantium est iure. Aliquam sapiente beatae ea amet. Earum autem animi neque sed porro.
Reiciendis rerum voluptas ea blanditiis optio expedita quia pariatur. Ut in quia sint nihil et optio. Sunt rem similique neque debitis minima consequuntur illo voluptas. Deleniti neque voluptate et est vel non et. Natus ratione beatae fugit ut reiciendis. Enim mollitia neque enim porro occaecati excepturi iure.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...