With the Fed’s bailout, are dollar bonds still investable? (2)

In other words, if the U.S. sovereign defaults, then the collapse of the global financial system is not a dream, so even if U.S. Treasuries are as big as *any* Rolling on bigger and bigger, it remains the current recognized safe haven for global financial assets. No matter what kind of global investment strategy, its asset allocation options can not avoid the U.S. Treasury.

But U.S. Treasury prices are now at a high level, want to do asset allocation investors to choose when to enter, the difficulty is actually quite big. Instead of bothering to keep an eye on the market news every day, you might as well give the investment bond thing to a professional investment manager to help you deal with. Here we can show you one of Fidelity International's actively managed US dollar bond funds.

Fidelity US Dollar Bond A

Fidelity US Dollar Bond A Fund is an actively managed US dollar bond fund issued by Fidelity International, which invests primarily in US bonds, primarily The varieties are government bonds and investment grade corporate bonds. Fidelity International's fund managers are very experienced in bond investment strategies, and the fund managers have an established investment research team behind them The fund provides exclusive fundamental analysis, quantitative model analysis and perfect wind control system for fund manager's decision making.

The investment strategy of the fund is to invest in four dimensions, namely, asset class allocation, industry sector allocation, bond maturity allocation, and investment strategy. allocation as well as the selection of individual bonds. In the selection of corporate bonds, the fund manager researches individual companies and takes into account diversification while selecting bond companies.

While there is a large selection of dollar bond funds, many investors choose to invest in Fidelity Dollar Bond A for the following reasons.

1.Fidelity International has a long history and is trusted.

Fidelity International, founded in 1969, is a company of An independent firm with shared ownership by the founding family, management and senior staff, and one of the trusted global leaders in the investment management industry. . With offices in 25 countries and more than 7,000 employees, including more than 400 investment professionals, we have a strong presence in the U.S. and Europe. personnel, fund managers have an average of 12 years of service with Fidelity International, with an average of 16.3 years of experience.

As of March 31, 2017, Fidelity International's total assets under management exceeded US$383 billion, with more than 700 equity, fixed income, real estate and asset allocation funds under its umbrella, covering approximately 95% of the world's largest listed companies.

2.U.S. dollar bond fund investment superiority

A decade of steady gains

Fidelity US Dollar Bond A has steadily outperformed the Bloomberg Barclays US Total Bond Index and Bloomberg Barclays Global Bond Index over the past ten years, and as more than 80% of its positions are in US bonds, the trend is very similar to the Bloomberg Barclays US Total Bond Index, which makes it stand out mainly because of the fund manager's investment in bonds outside the US, making the risk diversification.

Staged investment returns outperformed the benchmark, beating 99% of its peers

Fidelity USD Bond A's total return from 3 months to 10 years (annualized) outperformed both the Bloomberg Barclays U.S. Total Bond Index and the Bloomberg Barclays Global Bond Index total return.

The fund's performance has been at the top of its category over all time periods, with the most recent year's returns beating 99% of its peers.

Heavy exposure to high quality bonds

Fidelity Dollar Bond A is heavily weighted in high credit-grade A-rated bonds with a weighting of nearly 70%. more than 90% of the position is in investment-grade bonds. The current credit spread to Treasuries is less than 125 basis points.

3.Nearly 30 years of issuance, nearly $1.7 billion in assets under management

Fidelity International USD Bond A was issued on November 12, 1990 and has been in operation for 30 years, ending March 2020 31 to $1.69 billion in assets under management. Fund manager Rick Patel, a CFA licensee and Oxford University mathematics graduate, also currently manages 27 The US$2.5 billion Fidelity European Short-Term Bond Euro Fund and the US$2.5 billion Fidelity Global Investment Grade Debt Hong Kong Dollar Fund, which are both The Fund's returns over the past three years have outperformed their respective fund classes.