International Bonds Belong In Every Investor’s Portfolio
- International bonds make up a large portion of the global financial market.
- These bonds offer investors exposure to varied interest rate environments.
- Currency hedging can mostly eliminate the foreign exchange rate risk.
Foreign government bonds make up approximately 21% of the total universe of financial assets available to investors; for comparison purposes, US government bonds make up approximately 12%.[1] Given their importance in the global financial markets, most investors should include international bonds in their portfolio. This article was published exclusively on SeekingAlpha.com and you can read the rest by following this link.