-
Taiwanese Investors’ $29 Billion Bond ETF Rush Stirs Waves in Currency, Treasury Market
Taiwanese investors have emerged as the biggest buyer of bond exchange-traded funds in Asia, with the bulk of their money pouring into US debt. They bought a record $29 billion of passive ETFs this year, more than half of total inflows for the region, according to Bloomberg-compiled data. Nearly 80% of the assets managed by these funds were invested in US Treasuries and credit, the data show. The inflows are driven largely by retail investors who seek alternative assets offering higher returns than insurance policy-tied instruments. Insurers are also jumping in, trying to save on currency-hedging costs by owning ... (full story)