Chile Bond

Chile bond mutual funds and ETFs invest the majority of their assets... Chile bond mutual funds and ETFs invest the majority of their assets in government and corporate debt of governments and corporations in Chile. These funds can be actively or passively managed and may seek to track or outperform a particular benchmark. They may hedge foreign currency risk, or elect to leave themselves exposed to fluctuations in the Chilean Peso. Depending on their mandate, a Chilean bond mutual fund or ETF may focus on investment-grade bonds, high-yield (a.k.a. junk bonds), or a mix of credit quality. Nonfinancial corporations are the largest issuers of debt in Chile, at 98% of GDP as of 2022. Government debt, meanwhile, accounts for 40.5% of GDP as of 2024. Investors purchase Chile bond mutual funds and ETFs to get both capital growth and income. These funds can vary significantly in terms of risk. A fund that exclusively invests in short-term Chilean government debt is likely to be more conservative than a fund that only invests in long-term debt issued by Codelco, the state-owned copper Last Updated: 12/27/2024 View more View less

Chile bond mutual funds and ETFs invest the majority of their assets in government and corporate debt of governments and corporations in Chile. These funds can be actively or passively managed and may... Chile bond mutual funds and ETFs invest the majority of their assets in government and corporate debt of governments and corporations in Chile. These funds can be actively or passively managed and may seek to track or outperform a particular benchmark. They may hedge foreign currency risk, or elect to leave themselves exposed to fluctuations in the Chilean Peso. Depending on their mandate, a Chilean bond mutual fund or ETF may focus on investment-grade bonds, high-yield (a.k.a. junk bonds), or a mix of credit quality. Nonfinancial corporations are the largest issuers of debt in Chile, at 98% of GDP as of 2022. Government debt, meanwhile, accounts for 40.5% of GDP as of 2024. Investors purchase Chile bond mutual funds and ETFs to get both capital growth and income. These funds can vary significantly in terms of risk. A fund that exclusively invests in short-term Chilean government debt is likely to be more conservative than a fund that only invests in long-term debt issued by Codelco, the state-owned copper Last Updated: 12/27/2024 View more View less