5:24 pm
http://ca.ishares.com/product_.....ticker=XRB
iShare has a RR bond etf for trading costs + 0.35% MER
You thinking of hyper inflation in the next few years?
I don't think a fund like the iShares XRB will do the trick for me. While the fund holds RR bonds, it does not act like actually holding the bonds myself. Funds like that can actually lose money, while Real Return Bonds cannot.
But, I don't think hyperinflation -or even high inflation- is a serious risk. I am just looking for something with a 100% guarantee.
Then again, I haven't seen a convincing explanation on the causes of high inflation. The text book cause, money supply, is not convincing. So I don't know that the people charged with avoiding high inflation in Canada have the tools or knowledge to do that. I don't know that they don't either.
Having mostly Real Return Bonds means I don't have to care one way or another.
Please write your comments in the forum.