ABF SG Bond ETF- good to have in portfolio?

Anyone has ABF SG Bond ETF in your portfolio? What were your reasons for including it in your portfolio?

I am 29 this year. My portfolio is now weighted heavily in stocks ( >90%). I probably only have about 5% in Singapore Savings Bond. I’ve recently been thinking about the need to diversify my portfolio across different asset classes.

Am well aware that a bond ETF will require a long-term investment horizon. This is the kind of counter that I will buy and hold for at least 20 years, if not forever! The only thing that is really holding me back is a comparatively lower yield compared to a dividend-paying blue chip, or even STI ETF for that matter.

Also, any issues with liquidity on ABF SG Bond ETF?

Interested to know what other people think or have been doing. Cheers!

2 Likes

Hi there, I invest in ABF SG Bond ETF monthly with the same amount starting 2 years ago. This year, it is my best performing ETF … LOL. I think this alone tells us something.

Why do I buy it? To diversify and own bonds. I am contended to have a portion of my portfolio earning 2% yield but at much lower risk and volatility.

I aim to achieve 30% of my portfolio in bonds, equal weight to equities. But like you, my portfolio is skewed towards equities now so I am taking actions to move towards my aspired portfolio.

Hope it helps.

Warriortan

3 Likes

From my understanding Nikko AM will buy back your position at NAV as per their website if the position is large enough. (250k or so), but you need to go thru ur broker to action and this should sort out any liquidity concerns.

I have both A35 and MBH both have been very stable or increased due to the recent market volatility.

2 Likes

Thanks, but my holding is still too small to concern them … maybe in a few years time.

1 Like