Bonds are not for wimps

Consider building a bond portfolio around government bonds, Morgans analyst James Lawrence says.

Managing a share portfolio is hard work. Managing a bond portfolio is even harder, but there are plenty of upsides.

Global markets such as the US provide investors with greater diversification opportunities.

Offshore markets offer the opportunity for portfolio diversification

In aggregate, SMSFs have outperformed the large super funds over the seven years to June 2013, with three asset classes - Australian shares, cash and unlisted property - proving winners. However, with changes to the economic order and the end of the financial year looming, it's a good time to review portfolio allocations.

Access to corporate bonds allows an alternative to investors.

Corporate bond market open to retail investors

Retail investors who are frustrated with withered term deposit rates but who lack the funds to enter the wholesale bond market can now access a secondary market of 17 Australian corporate bonds listed on the ASX.

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Investors must be wary of low rates

The one thing all investors should be thinking about right now is where the long-term risk-free rate, or 10-year government bond yield, is l...