Ivolga Capital company blog | PRObondsmonitor. Bonds of subjects of the federation and the first corporate echelon. Competition with inflation

Federal bond yields follow OFZs, providing a premium for formal credit quality and restrained liquidity. Expecting quick upsides when buying this class of securities is probably not the case now. Therefore, it is more interesting what is more profitable. There is a little more choice this year, and for short periods to maturity. The opportunity to beat inflation (at its current 5-5.5%) is given already by 2-3-year issues.

PRObondsmonitor. Bonds of subjects of the federation and the first corporate echelon. Competition with inflation
There is a feeling that corporate securities are underperforming. The maximum that can be counted on in the first echelon is 7-8% per annum. Those. the premium to inflation is about 1.5-2%. But this is the maximum. The average yield exceeds the current inflation rate by only about 1%. Let’s add to this the inertia of the slide of corporate securities quotes (the effect of lag in comparison with OFZ) and think about whether the time has come for purchases?