Risk-Free Interest Rates Lower: Trillion Fixed Income Market Seesaw

With the advent of the global easing era, market interest rates continue to go down, and in the face of risks and gains, the yield of different investment products is playing a game of seesaw.

The most important policy clue comes from the central bank. After 12 years, the excess reserve requirement rate has been lowered again.

The people's Bank of China announced in April 3rd that it decided to reduce the deposit reserve ratio by 1 percentage points for rural credit cooperatives, rural commercial banks, rural cooperative banks, village banks and city commercial banks operating in provincial administrative regions only.

This policy affects the risk-free interest rate of the market, and for investors, it has a considerable impact on the level of earnings of fixed income products.

Against this background, which is the best hedge against bank financing products and fixed income funds? For high net worth customers, is there a better choice?

Bond fund returns steady

Wind data show that as of April 9th, the average return (non annualized) yield of the 3076 bond funds disclosed in the year was 2.26%, with a median of 2.3765%.

Among them, the people's livelihood plus silver Jia Ying, Jin Xinmin Wang A, Jin Xin Min Wang C, Xincheng new double surplus B, long letter robust pure debt E, long letter robust pure debt A yield of over 8%, while the 18 yield of 7% of the 7% companies, such as Soochow Dingli, Tianhong Dingli, Huaxia Dingli C, Penghua convertible bonds, CITIC Prudential A and so on.

If we further relax the yield target, the yield of 812 bond funds will be over 3%.

In addition, the reporter also learned from Huarun Yuan Da fund, as a pure debt type of fund, Hua Runyuan big robust, this year's yield is around 6.1%.

This also means that many debt based investors have gained more than one year's income from holding money funds since the beginning of the year.

In the fixed income market, cargo base and bank financing yield bid farewell to the 4 era.

Take the largest monetary fund of China, Tianhong balance money market fund, for example, in the evening of April 9th, the 7 annual yield of the fund fell below 2%, at 1.953%, the first time the fund has fallen below 2% since its establishment in May 29, 2013.

Prior to this, Celestica balance treasure also appeared in 2016 about 2% of the yield, followed by gradually rising to more than 4%.

In twenty-first Century, the economic report reporters inquired about Wind data and found that as of April 9th, 746 monetary funds in the whole market (different shares were counted separately), the median annual yield of the latest 7 was only 2.0270%. Among them, only ICBC Credit Suisse 60 days finance B, Shang Yin Hui profit, Dacheng currency B, Dacheng currency A, Huaxia Wally B, Huaxia Wally A and other 21 7 annual yield of over 3%, 380 380 7 annualized yield below 2%.

Despite the low yields of IMF, investors' enthusiasm for monetary fund is still high.

China's securities investment fund association data show that as of the end of February this year, the size of the fund was 8 trillion and 80 billion yuan, accounting for nearly half of the total size of the public fund.

Bank financing "break 3" Product Showcase

In terms of bank financing, the reporter learned from a number of stock holders that the rate of return on finance will be adjusted in the near future, but the enthusiasm of investors will not be reduced.

In the week since April 6th, 43 banks have issued 458 credit and financial products, a decrease of 0.65% compared to the corresponding period, and the corresponding issuance of silver credit products is 353 billion 240 million yuan, a decrease of 9.79%.

According to incomplete statistics, the average expected yield of silver credit products in April 6th is 3.99%, the lowest since last year.

In April 9th, a joint-stock bank official told the business reporter in twenty-first Century that the bank's financial products known as "the yield is basically between 2-3%".

The reporter saw that the annual yield of cash products of China Merchants Bank was lower on the 7 day, and the RMB's enjoyment from daily profits dropped from 3.27% in April 5th to 3.17% in April 7th.

Despite the decline in yields, the above pointed out that "from the number of bank financial products purchased, it is on the rebound, which is a relatively stable investment option".

If China Merchants Bank's 7 annual yield of more than 3%, "mobile phone Chao Jin multi active", "RMB enjoying the day," "sage gold" and other types of financial products at any time of redemption type, all showed "sold out".

In addition, in twenty-first Century, the economic news reporter learned from Ping An Bank that Ping An Bank's "A growth every day", the 7 annual yield of 3.5535%, 10 thousand yuan purchase (T+0 transaction time limit is not limited), has sold out.

Another financial product, "growing C every day", has a 7 annual yield of 3.2339%.

Ping An Bank told the twenty-first Century economic news reporter, "the stock of products growing every day is more than 100 billion, of which C is growing every day. There are few products that support consumer payment in the main joint-stock banks."

Can the trust achieve a yield of 7%?

For high net worth customers, trust is a more concerned investment type.

"The general yield is between 7.5%-8.8%". In April 9th, a trust company practitioner told a business reporter in twenty-first Century.

In his view, "financing costs are still there, real estate projects more than 10%, political credit projects 9-10%, consumer finance 7%, trust companies charge 1.5% of the trust management fee will be issued to customers, if the financing side (real estate, political credit, consumer finance class) can not be reduced, the trust reward has not changed, it can only reduce customer revenue."

Reporters obtained a trust plan released by 68 trust companies as of April 9th, which shows that if the Jiangsu Xuzhou Zheng Xin project of the political trust group has promised an annual yield of 8.3%, the Zhejiang Changxin political trust project promises an annual yield of 6.8%-7.3%, while the sunshine city flower garden project of the real estate industry, the promise annualized yield rate of 12 months and 3 million threshold is 8.5%, and the other one can Shenzhen sweet Jiabao. Lake real estate projects promise an annual yield of more than 7.9%.

"Before P2P, the city voted debt has exploded, we still feel that the trust is safe," the trust company believes.

In addition, another large trust company practitioner told the twenty-first Century economic news reporter that the company's "fixed income bond category closed for one year, and the annual yield of the product is above 6%".