Global investors including hedge funds are increasing allocations to Australian government bonds as concerns grow over stretched valuations tied to the artificial intelligence boom, according to a report by Bloomberg citing data from Morningstar.
Inflows into Australian bond funds tracked by Morningstar exceeded AUD4bn in 2025, the strongest annual intake in four years, as investors seek higher-yielding and lower-risk sovereign debt. Australia’s 10-year government bond yield, at around 4.7%, rem...
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