South Africa Bond

South Africa bond mutual funds and ETFs invest the majority of their... South Africa bond mutual funds and ETFs invest the majority of their assets in government and corporate debt of governments and corporations in South Africa. 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 South African Rand. Depending on their mandate, a South Africa bond mutual fund or ETF may focus on investment-grade bonds, high-yield (a.k.a. junk bonds), or a mix of credit quality. Government is the largest issuer of debt in South Africa, at 75% of GDP as of 2024. Investors purchase South Africa 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 South African government debt is likely to be more conservative than a fund that focuses on high-yield infrastructure, for example. Last Updated: 12/27/2024 View more View less

South Africa bond mutual funds and ETFs invest the majority of their assets in government and corporate debt of governments and corporations in South Africa. These funds can be actively or passively managed... South Africa bond mutual funds and ETFs invest the majority of their assets in government and corporate debt of governments and corporations in South Africa. 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 South African Rand. Depending on their mandate, a South Africa bond mutual fund or ETF may focus on investment-grade bonds, high-yield (a.k.a. junk bonds), or a mix of credit quality. Government is the largest issuer of debt in South Africa, at 75% of GDP as of 2024. Investors purchase South Africa 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 South African government debt is likely to be more conservative than a fund that focuses on high-yield infrastructure, for example. Last Updated: 12/27/2024 View more View less