| Australian bonds have been a darling of the strategic bond sector for some time but as the Australian dollar (AUD) – the world’s most overpriced currency on a trade weighted basis – breaks down, is the Oz trade over?
Some of the sector’s biggest names, such as the Citywire-A rated Fidelity Strategic Bond manager Ian Spreadbury, Jupiter Strategic Bond manager Ariel Bezalel and Pimco have all held significant positions in the country’s debt in the last 12 months. While some of those have already been unwound, as much as 70% of Australian debt remains in foreign hands, which, in itself, is one of the structural weaknesses now creating headwinds...............................................Full Article: Source
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