Re: Inflation Indexed Bonds / Treasury Inflation-Protected Security (TIPS)
Posted: Fri Feb 25, 2022 9:15 am
Thanks for such a detailed and interesting reply to my doubts Tkydon, I really appreciate it.
There were risks from the market going up but it just happen to be the contrary, so I might be lucky and get a better price on the stock funds (better than the ones from last Friday). The price of the bonds fund to be sold was 02/21 and the stock funds price will be settled next 02/28.
Crossing fingers!
(That's only my iDeCo, on my Tsumitate NISA and Tokutei accounts everything that I own is just eMaxis Slim All World (including Japan). That means I am full 100% stocks right now (bonds were around 25% of my portfolio), mostly world, as iDeCo holds everything but Japan, but I have to add up my stock )options coming from Japan)
Yes, that's what I was thinking. It used to be a sort of hedge against stocks in certain cases, but not anymore with the close to 0 / low interests rates, so now they are just going down similarly to stocks (just a bit slower but still)
Yeah, that's correct. I took the risk last Friday and went for a switch option trading the current world bonds fund fore maxis slim all world (except Japan, as I have some Japanese stocks granted from my company) and also emaxis slim emergents, as I want to put more weight on the emergent countries in the future.Tkydon wrote: ↑Fri Feb 18, 2022 6:47 am On switching funds in your iDECO, I don't know which iDECO provider you are using, so I don't know the specifics, but I think you will find there is no way to just hold Cash in your iDECO. I think you can only switch between a Bond or Equity (or REIT or Commodity, etc....) Fund and a Cash equivalent Guaranteed Principal instrument (iDECO 定期預金), and back again. This is the equivalent of holding Cash, at the equivalent of Japanese Bank interest rates, but does take time to switch and clear, so it might take 5 business days to Switch out of a Fund to the Guaranteed Principal instrument and another 5 business days to Switch out of the Guaranteed Principal instrument to another Fund; i.e. not possible to switch in real time...
There were risks from the market going up but it just happen to be the contrary, so I might be lucky and get a better price on the stock funds (better than the ones from last Friday). The price of the bonds fund to be sold was 02/21 and the stock funds price will be settled next 02/28.
Crossing fingers!
(That's only my iDeCo, on my Tsumitate NISA and Tokutei accounts everything that I own is just eMaxis Slim All World (including Japan). That means I am full 100% stocks right now (bonds were around 25% of my portfolio), mostly world, as iDeCo holds everything but Japan, but I have to add up my stock )options coming from Japan)