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關於金融市場, 投資一問 (Essay問題求教...急)

我讀緊year1 ga, 有份finance 既essay 唔係好識點寫... 有冇人可以解釋下俾D hints 我><... 十萬個thanks!!

題目如下: " Uncertainty in financial markets has seen downward pressure on rates set by central banks and upward pressure on credit spreads. Discuss the effect on bond markets from the perspective of investors."

以我理解條問題係咪即係話金融市場不穩定,對央行造成減息壓力及使貸方差價交易有上升壓力?? 要以投資者角度講對債券市場有咩影響...??


1 Answer

  • 1 decade ago
    Favorite Answer

    Your understanding is correct. You can discuss the topic on 2 aspects: US Treasuries and US Corporate Bonds. As we all know that lowering interest rate will rise the price on short tenor Treasuries (&lt;1year) as market expected further cutting in interest rate and heightening financial uncertainty hence stimulating the investors to buy short term fixed rate Treasuries (almost riskless). However, too aggressive rate cut will bring about inflation later, thus, long term interest rate will rise thus lowering the long term Treasuries.An INVERTED YIELD CURVE is observed. For Corporate bonds market, the credit premium will rise with financial uncertainty, the investors who have bought the corporate bonds previously will suffer as corporate bonds drop. They can hedge their exposure by purchasing CREDIT DEFAULT SWAP or by shorting other similar corporate bonds ( same industry) to partially hedge the credit risk.

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