Thanks everyone for great responses!3) given unease with bonds, there might be a case for certificates of deposit if you can get some at good rates in your country, and always staying below the limit guaranteed in your country (for example, in EU the countries I know have 100k EUR limit, I think UK is 85k GBP). again though, longer term the one bond fund named above is the better choice.
4) you say you are early 30s. Any expectation of a big expense, like downpayment for a house? just checking. that might result in a slightly different recommendation.
To answer your question, I already own my apartment and it’s paid off. It’s in a great location and perfect size for me, I don’t see myself moving unless moving to another country for a job etc. (unlikely right now). So I’m mostly looking for a long term bond holding.
Regarding CDs, in my country we have pretty decent rates, I’ve been using them for an emergency fund. But for long term holdings they’re a hassle - I’d much rather use a fund.
Regarding currency hedging, I guess it’s pretty much consensus that hedging to local currency is a good idea. I guess I’ll have to live with my uneasiness with the euro.
The only thing worrying me regarding my current holding (global agg eur hedged) is inflation. The way I understand it, the nominal bond holders end up paying for all the government excesses via inflation, and I don’t see this dynamic changing soon. That’s why I felt the need to add inflation linked bonds to the mix.
Statistics: Posted by millenial_techie_91 — Sun Nov 03, 2024 3:37 am — Replies 5 — Views 247