Standard Life Ireland Corporate Bond Fund

[taytoman]

Any views on the standard life ireland corporate bond fund? It seems to be invested predominantly in core more than peripheral european company bonds. Just wondering what would happen with a fund like this in the event of a euro break up?

 

[Jim2007]

Just wondering what would happen with a fund like this in the event of a euro break up?

It would entirely depend on what you mean by a break up. Unlike equities, bonds are not normally re denominated after issue. It is still possible today to buy bonds denominated in pre Euro currencies.

 

[offiah]

There are 500 bonds and over 200 different companies in this fund. Key here is that many of these companies are from outside the euro zone - some Pan European but also from over over the global - US, Canada, Oz etc. However all the issuance is in euro. As Jim says it depends on what type of break up happens or doesn't!
Key with corporate bonds is the default risk.