Treasury Bond Investments. Why do Prices of Bonds Fall when Interest rates rise?

Treasury Bond Investments. Why do Prices of Bonds Fall when Interest rates rise?

Author: Kakande's Investments Podcast February 25, 2024 Duration: 25:02

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Good morning Kampala,

In this Podcast, we break into the Economics of why Bond prices are impacted by the interest rates.

For reference.

The 15 year bond offered in 2019 at Coupon rate of 14.25% now trading around UGX 92.

The 15 year treasury bond offered in 2020 at 15.25% now trading at around UGX 102

Quote from the Podcast.

“Your best strategy is to hold to maturity. (Hold to Maturity").

At least 90% of your chances should be to always hold that bond until it matures.

That's why it's very important to develop your investment strategy and see what tenors of a bond suits you best.

Is it a 2-year bond?

Is it a 5-year bond?

Or is it the 10, 15 and 20-year bonds?”

Alex Kakande



This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit kakandealex.substack.com

There's a unique perspective that comes from viewing the global financial landscape through a specific lens, and that's what you'll find with Kakande's Investments Podcast. This isn't about generic market tips; it's where Ugandan intellect and a deep understanding of local context meet broader international investment principles. Each episode feels like a conversation that bridges worlds, dissecting opportunities and strategies with a blend of regional savvy and global acumen. You'll hear discussions that ground complex financial concepts in real-world scenarios, making them accessible whether you're managing a portfolio abroad or building capital closer to home. The podcast serves as a thoughtful guide for anyone looking to cultivate a more nuanced and informed approach to growing their wealth. It’s that synthesis of distinct viewpoints that creates truly valuable insights, episode after episode. Tune in for a fresh take on building financial understanding from a grounded, yet outwardly-looking, point of view.
Author: Language: English Episodes: 20

Kakande's Investments Podcast
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