Key Trends in Global Gold and Bond Markets
Amid global economic uncertainty and the potential for U.S. interest rate cuts, international gold prices are reaching record highs. President Trump's tariff and weak dollar policies have contributed significantly to this upward trend, alongside the potential rate cuts by the Federal Reserve. In response to this environment, central banks worldwide are increasing their gold purchases, with domestic investors also showing a growing preference for gold investments. Leading financial institutions like JP Morgan and Goldman Sachs predict that gold prices will continue to rise until the end of 2026, driving the popularity of various gold-related ETF products.
In the global bond market, the Vanguard Total International Bond ETF stands out as particularly noteworthy. This fund has expanded its investments in Korean Won-denominated bonds, with holdings reaching approximately $3.097 billion by the end of July, an increase of roughly $240 million compared to a year ago. Although the proportion of Korean bonds has decreased to 2.9% due to a rise in total fund net assets, the investment amount itself has grown. This fund employs a passive investment strategy, tracking the Bloomberg Global Index. The maturity of government bonds ranges from 2026 to 2074, which reflects a strategy aimed at achieving long-term stability, making it an attractive option for investors seeking security.
Related News
'Trump Era' Endless Gold Rush, Investment Surges from Gold Banking to Physical and Mining ETFs - Business Post'Trump Era' Gold Rush Continues, Attraction Remains from Gold Banking to Physical and Mining ETFs
Vanguard Bond ETF Increases Investment in Korean Treasury Bonds and Bonds - Yonhap InfomaxThe Vanguard Total International Bond Exchange Traded Fund (ETF), a major player in the global bond market, has increased its investment in Korean won-denominated bonds. Vanguard Total International Bond ETF is the largest ETF investing in advanced country government bonds excluding the United States. According to the Vanguard website on the 4th, the Korean bond investment amount of the 'Vanguard Total International Bond ETF' as of the end of July was approximately $3,097,200,000 (about 3.8 trillion KRW), an increase of about $240 million from $2,859,000,000 a year ago. This was calculated by multiplying the fund's net assets ($106.8 billion) by the proportion of investment in Korea (2.9%).