Chinese Bonds Rose After China Rate Cut

Exhibit 1: Total Returns of the indices

S&P 500 Bond Index S&P 500 Investment Grade Corporate Bond Index S&P China Corporate Bond Index S&P China High Quality Corporate Bond 3-7 Year Index
YTD -0.59% -0.64% 5.29% 5.70%
1-Year 1.40% 1.38% 9.56% 10.09%
2-Year 7.98% 7.83% 13.99% 14.00%

Source: S&P Dow Jones Indices.  Data as of August 27, 2015.  Table is provided for illustrative purposes.  Past performance is no guarantee of future results.

Exhibit 2: Correlation of the indices

S&P 500 Bond Index S&P 500 Investment Grade Corporate Bond Index S&P China Corporate Bond Index S&P China High Quality Corporate Bond 3-7 Year Index
S&P 500 Bond Index 1 0.9983 0.2075 0.1666
S&P 500 Investment Grade Corporate Bond Index 1 0.1860 0.1516
S&P China Corporate Bond Index 1 0.9491
S&P China High Quality Corporate Bond 3-7 Year Index 1

Source: S&P Dow Jones Indices.  Data as of August 27, 2015, based on the monthly returns from January 1, 2013.  Table is provided for illustrative purposes.  Past performance is no guarantee of future results.

This article was written by Michele Leung, associate director, fixed income indices, S&P Dow Jones Indices.

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