those figures you quote are only the yield.
does not include capital appreciation.
that is like quoting dividend yield for stocks but ignoring capital growth.
bond prices rise ( capital growth ) when interest rates fall and vice versa.
thus the Vanguard Australian Government bond index ETF has returned 11% in the year ending Nov 30th
and Betashares CRED Australian investment grade corporate bond ETF has returned 15% !
nothing dodgy about it.
that's what happens when interest rates fall.
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- Is anyone investing in Australian Bonds supposedly running at 8.5%
those figures you quote are only the yield.does not include...
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