Re:China Is Hunting for Foreign Buyers for Its Sovereign Debt
by ChuckMcM on Thursday January 03, 2019 @06:59PM
(#18820651)
You give someone a billion dollars, and they promise to give you back your billion plus another 210 million three years later.
Probably wouldn't want to put your only billion there, but if you had say 160 billion sitting around, put one there and the other 159 billion in US treasuries you have added 30 basis points of upside to your return at a risk of 29 basis points.
Probably wouldn't want to put your only billion there, but if you had say 160 billion sitting around, put one there and the other 159 billion in US treasuries you have added 30 basis points of upside to your return at a risk of 29 basis points.