JGBs - Japanese Government Bonds - Anyone Every Bother?

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TokyoBoglehead
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Re: JGBs - Japanese Government Bonds - Anyone Every Bother?

Post by TokyoBoglehead »

VG1 wrote: Tue Mar 28, 2023 1:43 am Regarding investment in JGBs, Ueda will probably raise the ceiling on yields or abandon yield curve control altogether so I would be reluctant to invest in JGB at the current yields (I am talking about medium-term maturities like 10 years. Regarding shorter maturities I share Sutebayashi view, I think yields are too low to represent an attractive alternative to JPY cash.

Speaking of bonds, I wanted to know if any of you invest in JPY corporate bonds. The spreads are probably tight but I wanted to know if anyone has bought some in the primary or secondary market through their brokers and if so what type of minimum amount is needed. I don't think there are any ETFs that specialize in this sector.
The Japanese corporate bond market is small. Many products are restricted to qualified investors.

Another reason they are unattractive to buy directly is due to large lot sizes.

You see somethings enter the market like Rakuten mobile bonds, but those aee junk bonds.

Consider a fund like Pimco - Japanese better income - then zoom out on the chart. Not attractive.
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