Japan’s pension fund proxy accounts record net purchases of overseas bonds in May, according to preliminary data released by Japan’s Finance Ministry. Bloomberg reports that the proxies buy a record amount of foreign bonds, pointing to continued strong demand for overseas debt even as Japan’s domestic bond yields rise. The Japan Times adds that bank trust accounts—used as proxies for pension fund investments—acquire a net ¥3.16 trillion (about $19.7 billion) in May. Together, the reports indicate that foreign bond buying remains elevated and that investors associated with pension fund proxies continue allocating substantial funds abroad. The data are described as preliminary, suggesting figures may be subject to revision as additional reporting is completed. Overall, the information reflects ongoing portfolio diversification into international fixed income while local market conditions tighten, evidenced by higher Japanese yields during the same period.
Japanese pension fund proxies buy record overseas bonds in May
Japan’s pension fund proxy accounts record net purchases of overseas bonds in May, according to preliminary data released by Japan’s Finance Ministry. Bloomberg reports that the proxies buy a record a...
- Japan’s Finance Ministry preliminary figures show bank trust accounts as proxies for pension funds buy overseas bonds in May.
- Net purchases in May total ¥3.16 trillion (about $19.7 billion).
- The May level is described as a record amount of foreign bond purchases.
- Sources link the foreign demand to conditions where Japanese local bond yields rise.
Bank trust accounts bought a net ¥3.16 trillion ($19.7 billion) in May, preliminary figures from the Finance Ministry showed on Monday.
2 months agoProxies for Japanese pension funds bought a record amount of overseas bonds last month, adding to signs of robust demand for foreign debt even as local yields climbed.
2 months ago
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