This week’s Aussie inflation data was a mixed bag. While the headline number dropped into the RBA’s target range at 2.8%, the trimmed measure remained above target at 3.5%.

It will take a few more quarters until the more important trimmed measure heads down towards 3%, says Pendal’s head of government bonds Tim Hext in a new fast podcast.

Tim doesn’t expect a rates move before the RBA’s February meeting. “There won't be enough information by December. The market is 50-50 on whether they'll cut rates there.”

For bond investors Tim sees value in some areas after the recent sell-off.

In this podcast, Tim also covers the impact of next week’s US election and war in the Middle East.

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Find out more about Pendal's fixed income strategies at pend.al/fixedinterest

Pendal is a global asset manager. Find out more at pendalgroup.com

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This podcast is for general information purposes only, should not be considered as a comprehensive statement on any matter and should not be relied upon as such. It’s been prepared without taking into account any recipient’s personal objectives, financial situation or needs. Because of this, recipients should, before acting on the information, consider its appropriateness having regard to their or their clients’ individual objectives, financial situation and needs. The information is not to be regarded as a securities recommendation.

The information in this podcast may contain material provided by third parties, is given in good faith and has been derived from sources believed to be accurate as at its issue date. While such material is published with necessary permission, and while all reasonable care has been taken to ensure that the information in this presentation is complete and correct, to the maximum extent permitted by law neither Pendal nor any company in the Pendal group accepts any responsibility or liability for the accuracy or completeness of this information.

Any projections contained in this podcast is predictive and should not be relied upon when making an investment decision or recommendation. While we have used every effort to ensure that the assumptions on which the projections are based are reasonable, the projections may be based on incorrect assumptions or may not take into account known or unknown risks and uncertainties. The actual results may differ materially from these projections.

Performance figures are calculated in accordance with the Financial Services Council (FSC) standards. Performance data (post-fee) assumes reinvestment of distributions and is calculated using exit prices, net of management costs. Performance data (pre-fee) is calculated by adding back management costs to the post-fee performance. Past performance is not a reliable indicator of future performance.

For more information, please call Customer Relations on 1300 346 821 8am to 6pm (Sydney time) or visit our website www.pendalgroup.com

See omnystudio.com/listener for privacy information.

Pendal’s head of income strategies AMY XIE PATRICK explains the latest market volatility, rates outlook and why she believes investors should be thinking about their defensive allocation.

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Find out more about Pendal's fixed income strategies at pend.al/fixedinterest

Pendal is a global asset manager. Find out more at pendalgroup.com

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This podcast is for general information purposes only, should not be considered as a comprehensive statement on any matter and should not be relied upon as such. It’s been prepared without taking into account any recipient’s personal objectives, financial situation or needs. Because of this, recipients should, before acting on the information, consider its appropriateness having regard to their or their clients’ individual objectives, financial situation and needs. The information is not to be regarded as a securities recommendation.

The information in this podcast may contain material provided by third parties, is given in good faith and has been derived from sources believed to be accurate as at its issue date. While such material is published with necessary permission, and while all reasonable care has been taken to ensure that the information in this presentation is complete and correct, to the maximum extent permitted by law neither Pendal nor any company in the Pendal group accepts any responsibility or liability for the accuracy or completeness of this information.

Any projections contained in this podcast is predictive and should not be relied upon when making an investment decision or recommendation. While we have used every effort to ensure that the assumptions on which the projections are based are reasonable, the projections may be based on incorrect assumptions or may not take into account known or unknown risks and uncertainties. The actual results may differ materially from these projections.

Performance figures are calculated in accordance with the Financial Services Council (FSC) standards. Performance data (post-fee) assumes reinvestment of distributions and is calculated using exit prices, net of management costs. Performance data (pre-fee) is calculated by adding back management costs to the post-fee performance. Past performance is not a reliable indicator of future performance.

For more information, please call Customer Relations on 1300 346 821 8am to 6pm (Sydney time) or visit our website www.pendalgroup.com

See omnystudio.com/listener for privacy information.

August is a live meeting in terms of potential rate changes – and next week’s CPI figures will be key to the decision, says Pendal's head of bond strategies Tim Hext in this fast podcast.

A higher-than-expected CPI number could prompt a hike. A lower-than-expected number would likely mean rates stay where they are.

However, if an August rate hike eventuates, investors should largely ignore it, Tim argues.

“I think they will be cutting rates early next year. Whether they hike in early August or not, I think the environment will be far more friendly for inflation. “

In this podcast Tim explains why – and what it means for bonds.

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Find out more about Pendal's fixed income strategies at pend.al/fixedinterest

Pendal is an Australian based asset manager. Find out more at pendalgroup.com

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This podcast is for general information purposes only, should not be considered as a comprehensive statement on any matter and should not be relied upon as such. It’s been prepared without taking into account any recipient’s personal objectives, financial situation or needs. Because of this, recipients should, before acting on the information, consider its appropriateness having regard to their or their clients’ individual objectives, financial situation and needs. The information is not to be regarded as a securities recommendation.

The information in this podcast may contain material provided by third parties, is given in good faith and has been derived from sources believed to be accurate as at its issue date. While such material is published with necessary permission, and while all reasonable care has been taken to ensure that the information in this presentation is complete and correct, to the maximum extent permitted by law neither Pendal nor any company in the Pendal group accepts any responsibility or liability for the accuracy or completeness of this information.

Any projections contained in this podcast is predictive and should not be relied upon when making an investment decision or recommendation. While we have used every effort to ensure that the assumptions on which the projections are based are reasonable, the projections may be based on incorrect assumptions or may not take into account known or unknown risks and uncertainties. The actual results may differ materially from these projections.

Performance figures are calculated in accordance with the Financial Services Council (FSC) standards. Performance data (post-fee) assumes reinvestment of distributions and is calculated using exit prices, net of management costs. Performance data (pre-fee) is calculated by adding back management costs to the post-fee performance. Past performance is not a reliable indicator of future performance.

For more information, please call Customer Relations on 1300 346 821 8am to 6pm (Sydney time) or visit our website www.pendalgroup.com

See omnystudio.com/listener for privacy information.

Investors have been getting used to good news on inflation.

But does the latest US data suggest we’re getting ahead of ourselves?

In this new fast podcast Pendal’s head of bond strategies TIM HEXT reviews the evidence and explains why he still thinks there's juice left in bonds.

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Find out more about Pendal's fixed income strategies at pend.al/fixedinterest

Pendal is a global asset manager. Find out more at pendalgroup.com

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This podcast is for general information purposes only, should not be considered as a comprehensive statement on any matter and should not be relied upon as such. It’s been prepared without taking into account any recipient’s personal objectives, financial situation or needs. Because of this, recipients should, before acting on the information, consider its appropriateness having regard to their or their clients’ individual objectives, financial situation and needs. The information is not to be regarded as a securities recommendation.

The information in this podcast may contain material provided by third parties, is given in good faith and has been derived from sources believed to be accurate as at its issue date. While such material is published with necessary permission, and while all reasonable care has been taken to ensure that the information in this presentation is complete and correct, to the maximum extent permitted by law neither Pendal nor any company in the Pendal group accepts any responsibility or liability for the accuracy or completeness of this information.

Any projections contained in this podcast is predictive and should not be relied upon when making an investment decision or recommendation. While we have used every effort to ensure that the assumptions on which the projections are based are reasonable, the projections may be based on incorrect assumptions or may not take into account known or unknown risks and uncertainties. The actual results may differ materially from these projections.

Performance figures are calculated in accordance with the Financial Services Council (FSC) standards. Performance data (post-fee) assumes reinvestment of distributions and is calculated using exit prices, net of management costs. Performance data (pre-fee) is calculated by adding back management costs to the post-fee performance. Past performance is not a reliable indicator of future performance.

For more information, please call Customer Relations on 1300 346 821 8am to 6pm (Sydney time) or visit our website www.pendalgroup.com

See omnystudio.com/listener for privacy information.

Reckon you’ve got 2024 figure out?

Stay on your toes, because markets could go in any direction this year, says Pendal’s head of income strategies AMY XIE PATRICK in our latest podcast.

In this edition Amy explains the risks that investors may not be considering and how she is preparing her income portfolios.

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Find out more about Pendal's fixed income strategies at pend.al/fixedinterest

Pendal is a global asset manager. Find out more at pendalgroup.com

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This podcast is for general information purposes only, should not be considered as a comprehensive statement on any matter and should not be relied upon as such. It’s been prepared without taking into account any recipient’s personal objectives, financial situation or needs. Because of this, recipients should, before acting on the information, consider its appropriateness having regard to their or their clients’ individual objectives, financial situation and needs. The information is not to be regarded as a securities recommendation.

The information in this podcast may contain material provided by third parties, is given in good faith and has been derived from sources believed to be accurate as at its issue date. While such material is published with necessary permission, and while all reasonable care has been taken to ensure that the information in this presentation is complete and correct, to the maximum extent permitted by law neither Pendal nor any company in the Pendal group accepts any responsibility or liability for the accuracy or completeness of this information.

Any projections contained in this podcast is predictive and should not be relied upon when making an investment decision or recommendation. While we have used every effort to ensure that the assumptions on which the projections are based are reasonable, the projections may be based on incorrect assumptions or may not take into account known or unknown risks and uncertainties. The actual results may differ materially from these projections.

Performance figures are calculated in accordance with the Financial Services Council (FSC) standards. Performance data (post-fee) assumes reinvestment of distributions and is calculated using exit prices, net of management costs. Performance data (pre-fee) is calculated by adding back management costs to the post-fee performance. Past performance is not a reliable indicator of future performance.

For more information, please call Customer Relations on 1300 346 821 8am to 6pm (Sydney time) or visit our website www.pendalgroup.com

See omnystudio.com/listener for privacy information.

Have investors missed the boat on bonds after they touched 5% in October?

No, says Pendal’s head of bond strategies Tim Hext. In this latest Pendal fast podcast he explains why.

"When I look across the spectrum of what you can buy in bonds, government bonds are around 4.5%, state government bonds 5.25% and bank debt around 6%.

"On term deposits, my question to investors would be: Okay, let's assume term deposits are at 5% and you're locking yourself into those with no liquidity.

"Where do you think on average they're going to be over the next five or 10 years?"

"I think most people would assume they're going to be a little bit lower, not higher; and that cash rates will come down rather than go up a lot more.

"And yet, right now you can lock in, for five or 10 years, rates above 5% in bonds.

"The other advantage of bonds is that they're liquid.

"You can sell them anytime. You're not locked up like you are in a term deposit.

"That's particularly important, that if you saw a sudden sharp sell-off in equities and you're wanting to buy them — but your money's locked up in term deposits."

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Find out more about Pendal's fixed income strategies at pend.al/fixedinterest

Pendal is a global asset manager. Find out more at pendalgroup.com

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This podcast is for general information purposes only, should not be considered as a comprehensive statement on any matter and should not be relied upon as such. It’s been prepared without taking into account any recipient’s personal objectives, financial situation or needs. Because of this, recipients should, before acting on the information, consider its appropriateness having regard to their or their clients’ individual objectives, financial situation and needs. The information is not to be regarded as a securities recommendation.

The information in this podcast may contain material provided by third parties, is given in good faith and has been derived from sources believed to be accurate as at its issue date. While such material is published with necessary permission, and while all reasonable care has been taken to ensure that the information in this presentation is complete and correct, to the maximum extent permitted by law neither Pendal nor any company in the Pendal group accepts any responsibility or liability for the accuracy or completeness of this information.

Any projections contained in this podcast is predictive and should not be relied upon when making an investment decision or recommendation. While we have used every effort to ensure that the assumptions on which the projections are based are reasonable, the projections may be based on incorrect assumptions or may not take into account known or unknown risks and uncertainties. The actual results may differ materially from these projections.

Performance figures are calculated in accordance with the Financial Services Council (FSC) standards. Performance data (post-fee) assumes reinvestment of distributions and is calculated using exit prices, net of management costs. Performance data (pre-fee) is calculated by adding back management costs to the post-fee performance. Past performance is not a reliable indicator of future performance.

For more information, please call Customer Relations on 1300 346 821 8am to 6pm (Sydney time) or visit our website www.pendalgroup.com

See omnystudio.com/listener for privacy information.

US and local bond yields are hitting multi-year highs. Why is it happening and what’s next?

Resilience in the US economy is the main factor, says Pendal’s head of bond strategies Tim Hext.

That’s due to the dominance of fixed-rate loans there and Joe Biden's big-spending government.

Meanwhile the Australian economy is holding up better than expected and the fixed-rate cliff hasn’t impacted as much as people thought.

Bond investors should reward investors in two ways, argues Tim: the return and the insurance role.

“If things were to get out of hand, if you get a collapse in equities, if you see major geopolitical disruptions in this heightened risk environment, then bonds should perform their defensive role. I do think they’re cheap insurance.”

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Find out more about Pendal's fixed income strategies at pend.al/fixedinterest

Pendal is a global asset manager. Find out more at pendalgroup.com

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This podcast is for general information purposes only, should not be considered as a comprehensive statement on any matter and should not be relied upon as such. It’s been prepared without taking into account any recipient’s personal objectives, financial situation or needs. Because of this, recipients should, before acting on the information, consider its appropriateness having regard to their or their clients’ individual objectives, financial situation and needs. The information is not to be regarded as a securities recommendation.

The information in this podcast may contain material provided by third parties, is given in good faith and has been derived from sources believed to be accurate as at its issue date. While such material is published with necessary permission, and while all reasonable care has been taken to ensure that the information in this presentation is complete and correct, to the maximum extent permitted by law neither Pendal nor any company in the Pendal group accepts any responsibility or liability for the accuracy or completeness of this information.

Any projections contained in this podcast is predictive and should not be relied upon when making an investment decision or recommendation. While we have used every effort to ensure that the assumptions on which the projections are based are reasonable, the projections may be based on incorrect assumptions or may not take into account known or unknown risks and uncertainties. The actual results may differ materially from these projections.

Performance figures are calculated in accordance with the Financial Services Council (FSC) standards. Performance data (post-fee) assumes reinvestment of distributions and is calculated using exit prices, net of management costs. Performance data (pre-fee) is calculated by adding back management costs to the post-fee performance. Past performance is not a reliable indicator of future performance.

For more information, please call Customer Relations on 1300 346 821 8am to 6pm (Sydney time) or visit our website www.pendalgroup.com

See omnystudio.com/listener for privacy information.

China’s political and economic outlook has a huge impact on Australian investors. In this new podcast, Pendal’s head of income strategies AMY XIE PATRICK explains the latest.

An excerpt:

Why doesn’t Beijing pump stimulus into the Chinese economy as other countries do?

“We have to remember that the Chinese political system is not a democratic system, and its principles are very socialist at heart,” says Pendal’s head of income strategies, Amy Xie Patrick.

“A very classic characterisation of the Chinese style of socialism is they don't believe in ‘helicopter money’.

"They believe money going directly into people's pockets isn't the way to common prosperity. Instead, everyone should toil in order to achieve that prosperity.

However, now we're reaching a point where the drag from the Chinese property story is so severe that they kind of have to choose a lesser of two evils.

...I think the government is on the cusp of considering more direct-to-consumer stimulus, at least just to keep the current positive momentum going for China."

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Find out more about Pendal's fixed income strategies at pend.al/fixedinterest

Pendal is a global asset manager. Find out more at pendalgroup.com

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This podcast is for general information purposes only, should not be considered as a comprehensive statement on any matter and should not be relied upon as such. It’s been prepared without taking into account any recipient’s personal objectives, financial situation or needs. Because of this, recipients should, before acting on the information, consider its appropriateness having regard to their or their clients’ individual objectives, financial situation and needs. The information is not to be regarded as a securities recommendation.

The information in this podcast may contain material provided by third parties, is given in good faith and has been derived from sources believed to be accurate as at its issue date. While such material is published with necessary permission, and while all reasonable care has been taken to ensure that the information in this presentation is complete and correct, to the maximum extent permitted by law neither Pendal nor any company in the Pendal group accepts any responsibility or liability for the accuracy or completeness of this information.

Any projections contained in this podcast is predictive and should not be relied upon when making an investment decision or recommendation. While we have used every effort to ensure that the assumptions on which the projections are based are reasonable, the projections may be based on incorrect assumptions or may not take into account known or unknown risks and uncertainties. The actual results may differ materially from these projections.

Performance figures are calculated in accordance with the Financial Services Council (FSC) standards. Performance data (post-fee) assumes reinvestment of distributions and is calculated using exit prices, net of management costs. Performance data (pre-fee) is calculated by adding back management costs to the post-fee performance. Past performance is not a reliable indicator of future performance.

For more information, please call Customer Relations on 1300 346 821 8am to 6pm (Sydney time) or visit our website www.pendalgroup.com

See omnystudio.com/listener for privacy information.