Taiwan Ranks 11th Among US Creditors

Reported 7 months ago

With US bond yields rising to around 5% at the end of October last year, Taiwanese investors poured money into long-term US bond ETFs, leading to the growth of single bond ETFs by over a trillion NT dollars this year. Taiwan is now the 11th largest creditor of the US, with $259 billion in US bonds. The trend of investing in bond ETFs continues to heat up, with the highest trading volume on the first day of trading for the newly listed bond ETFs. The overall scale of bond ETFs has grown by over 20% since the end of last year, nearing 2.5 trillion NT dollars, benefiting over 500,000 people. Managers of investment-grade bonds highlight the recent economic growth and interest rate fluctuations in the US market, suggesting good opportunities for investing in fixed interest rate bonds. Market expectations for Fed interest rate cuts and concerns about inflation have led to a fluctuating bond market. Investors holding long-term bond ETFs are advised to accumulate positions on dips, while staying alert to price premiums and discounts.

Source: YAHOO

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