06 September 2024
Healthy Range
Following a good momentum in July 2024, the fixed-income asset class continued its rally in August 2024. The yield on US Treasury 10-year bond fell below 4% and remained stable for the month. This declining yield was primarily driven by recession fears, prompting investors to seek safe havens early in August, along with a statement from the Fed at the end of the month indicating that it was time to adjust the policy rate. The Fed successfully aligned inflation and job market conditions.
Domestic bond yields responded quickly to developments in the US market, with IndoGb 10-year yield strengthening to below 6.8%. The yield spread between US Treasury and IndoGb narrowed to a healthy range of 250-280 basis points. The strengthening Rupiah, which appreciated by around 5% during the month despite a weaker trade balance, further boosted the Indonesian bond market. We extended our portfolio durations, which resulted in positive performance.
Product Recommendation
| FIXED INCOME FUND | |
|---|---|
| MIDU | MIDU invests in Bond Instruments with a Medium-Term segment and is categorized as low to medium risk. Investors bear the risk associated with the Bond Portfolio. |
| IDAMAN | IDAMAN invests in Indonesian Government USD Bonds with a short duration and is categorized as medium risk. Investors bear the risk associated with the Bond Portfolio. |
| MIDO2 | MIDO2 invests in Indonesian Government Rupiah Bonds with a long duration and is categorized as high risk. Investors bear the risk associated with the Bond Portfolio. |
| BALANCED FUND | |
| MIA | MIA invests in Equities, Bonds and Money Market with Medium Term and categorized Medium Risk. Investors bear the risk associated with the equity portfolio. |
| MISB | MISB invests in Sharia Equities, Sukuk and Money Market Sharia with Medium Term and categorized Medium Risk. Investors bear the risk associated with the equity portfolio. |
For More Information
Contact Mandiri Investasi – (021) 526 3505
Mandiri Investasi Whatsapp – 0816 86 0003
Mandiri Investasi Email – [email protected]
Mandiri Investasi Website – www.mandiri-investasi.co.id
Moinves Website – www.moinves.co.id
DISCLAIMER
The opinions expressed in the article are for general informational purposes only and are not intended to provide specific advice or recommendations for individuals or specific mutual fund or investment products. It is intended solely to provide education about the financial industry. Views reflected in the content may change at any time without notice. All performance data and investment returns mentioned in this article cannot be used as a basis for calculation to buy or sell a mutual fund. This data is performance records based on historical data and is not a guarantee of future mutual fund performance. Investment through mutual funds carries risks. Investors are required to read and understand the prospectus before deciding to invest through mutual funds.
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