Investing in bonds - any good book/ research recommendations

simonsheffield

I am looking to re-invest my pension and want to understand bond investing before I make significant investments in this asset class. Does anyone have any good book recommendations or research sites?

I have a Fidelity ISA with 20K invested which I am using to prototype my overall investment strategy - but I am surprised and dont understand why all the bond funds vary so much in performance year to year against a backdrop of fairly static low interest rates and low inflation.

For example one of my funds (Jupiter Strategic Bond) had the following performance over 5 years: 7.33% (2013/14); 5.31 (2014/15); -0.90 (2015/16); 8.06 (16/17); 1.98 (2017/18).

With the following standard deviation % 1.58 (1 yr); 2.52 (3 yr); and 2.83 (5yr).

What drives these very significant variations? By the way I am surprised given the variations in performance that the standard deviations are so low.

I wonder if there any good ETFs for high grade/ short term bonds?

Cheers,

Simon

ColdIron

Maybe Mark Glowrey's The Sterling Bonds and Fixed Income Handbook
https://www.amazon.co.uk/Sterling-Bonds-Fixed-Income-Handbook/dp/0857190423

His website is worth look as well
http://www.fixedincomeinvestor.co.uk/x/default.html

kidmugsy

John Kay counsels against investing in long term bonds at the moment. You could have a look at his book - I haven't read it but his columns impress me.

The Long and the Short of It: A guide to finance and investment for normally intelligent people who aren't in the industry
Paperback; 1 Dec 2016