M&G's Woolnough: Why banks should offer a cash ETF

Writing in the latest Bond Vigilantes blog, Woolnough (pictured) said negative yielding bonds mean investors now see little benefit to holding bonds rather than physical cash. However, there are costs involved in storing physical cash while bonds are harder to lose or be destroyed.  "Developed bond markets are now at the point where the income on a 10-year bund and a €100 note is exactly the same (zero) and the yield advantage of owning a 10-year bund is gone. However, the potential capital gains and losses of owning a bund still exist. Consequently, at these low yields I believe the ...