What types of bond and sukuk information are available on the BIX?
All Ringgit Government and corporate bonds and sukuk issued in Malaysia are available. These comprise short and long-term issues.
How often are the information on bonds and sukuk on the BIX updated?
Information such as traded prices, primary market information, credit rating announcements and new issuer documentation are updated daily. As for the educational content, we aim to provide new articles monthly and will endeavor to upload new videos at regular intervals.
What are BIX tools?
I do not know much about bonds and sukuk. How can I find out more?
I am new to the bond market and unsure of certain bond and sukuk terminology. How can I find out more?
Does BIX provide any investment advice on bond and sukuk?
The BIX does not offer any financial advice. Please have a look at the Disclaimer for more information.
What is “clean price” and “dirty price” of a bond?
The “clean price” is the price of a bond that excludes any accrued interest since issue or the most recent coupon payment. The “dirty price” is the price of a bond including the accrued interest.
What are the risks involved in bond/sukuk investments?
Investors need to be aware of some potential risks to investing in bonds and they are namely: Interest rate risk, Credit risk and Market risk.
What is the interest rate risk of a bond?
Interest rate risk is the risk that changes in interest rates may reduce the market value of a bond you hold.
What is the credit risk of a bond?
Credit risk refers to the risk that a bond issuer may fail to make all interest and principal payments in full and on schedule which is a critical concern for investors.
What is the market risk of a bond?
Market risk is also called systematic risk where the overall market or asset class will change in value according to economic conditions or other factors that may override any characteristics specific to a bond.
What does a corporate bond credit rating mean?
Credit ratings are not buy or sell recommendations, nor are they substitutes for independent investment analysis. Instead, ratings are an opinion about the capacity and willingness of a borrower to meet its financial obligations in full and on time.
How does a change in credit rating impact the bond investment?
A rating downgrade of a bond leads to rise in yield payable on the bond and that leads to fall in price. However, a word of caution, changes in global interest rates, domestic liquidity, monetary policy actions, fiscal situations of a country among other factors also impact interest rates.