Australian Bonds Shine in Start to 2024: A Review from GIM Trading's Chief Investment Officer, Alex Green
The Australian bond market is off to a record-breaking start in 2024, buoyed by high issuance volumes and strong liquidity, following a review by GIM Trading analysts. With AUD $61.1 billion raised by financial institutions and AUD $7.9 billion in corporate sectors, these figures mark a significant year-on-year increase of 20% and 85%, respectively. According to GIM Trading's Chief Investment Officer, Alex Green, "Investor confidence in the Australian market remains robust, driven by improving economic conditions and resilient performance despite global volatility." Green explains that while 2023 was challenging, the shift in 2024 suggests a strong rebound. "We’re seeing a growing interest in Australian Medium-Term Notes (AMTNs) and other fixed-income assets. This is due to favorable exchange rates, resilient spreads, and investor demand for yield." Green highlights that superannuation funds have increased their assets under management (AUM) from AUD $3.2 tr