Medric

Interest rate bubble

Short
LSE:EG20   None
2
iShares Euro Government Bond 20yr Target Duration UCITS ETF is a proxy for long term European Government Bonds.
It has performed 24% YTD!

The figures below show it, Yield to maturity is 0,66%...for an avg. maturity of 26 years.

Would you invest? I would not spend a penny on this - for me a clear sign of a bubble! Rather store the cash at home, or go short.

Data from factsheet.
Weighted Average Maturity 26.23 yrs
Weighted Average Coupon 3.58%
Weighted Average Yield To Maturity 0.66%
Effective Duration 19.11 yrs

Happy trading
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