Related posts

This week’s new 52-week highs… (Dec 12-18)
Investor Insights

This summary was created by AI, based on 3 opinions in the last 12 months.

BMO Long Federal Bond Index (ZFL-T) is considered the top Canadian ETF for exposure to long bonds in CAD. It is seen as a good addition alongside cash to take on some duration-risk exposure and offer diversification against a recession or economic slowdown. With a 3.6% yield, it provides solid returns while also serving as insurance in the event of negative outcomes from a tightened credit market. The experts are comfortable holding onto this stock while waiting for Canada's next inflation reading and the BoC decision.

Consensus
Positive
Valuation
Fair Value
Similar
TLT, TLT-T
BUY
Canadian equivalent to TLT.

The largest ETF giving you exposure to purely CAD long bonds. Same theme as the TLT.

0
TOP PICK

Canadian federals, a growing category. Good way to add in alongside cash and take on some duration-risk exposure. Barbells in a bit of rate risk in a capital-efficient way. One of the few asset classes in a portfolio that would zig should the market zag into a recession.

0
PARTIAL BUY
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

Bonds offer a nice diversification against a recession or slowdown in economic growth. ZFL pays a 3.6% yield, so it offers investors a solid yield while central banks determine their final monetary policy decisions. Largely, we think that we are near the end of the hiking cycle, inflation is coming down, it is near the target rate of 2%, and while the consumer is resilient, a tightened credit market can lead to negative outcomes occurring eventually, and bonds are essentially insurance against this. It's possible that the BoC increases rates two or more times by the end of the year, however, if inflation slows faster than expected, these goal posts may change and thus bond prices can be buoyed. We would be comfortable holding bonds here as insurance, however, we would prefer to wait until Canada's next inflation reading as well as the BoC decision to add to the position.
Unlock Premium - Try 5i Free

0
DON'T BUY
How are long-duration bonds different from long-duration equity? Night and day difference. From day to day like now both haven't been doing well because of inflation. While inflation is a driving force, not a good idea to buy. When protecting from recession, you want federal long bonds and not equity. That's the main differentiator.
0
BUY
Long Canadian bonds. The real flight to safety is into the US and into US$. He would go into the US version, although this one is fine. He is still quite bullish on the treasury market.
0
BUY ON WEAKNESS
It is long bonds (federal government). Longer duration bonds as things fall is one of the best things you can own in your portfolio. It is not as attractive today but is a buy on dips. He thinks there is more of these interest rate dips to come. This is a tactical, rather than buy and hold kind of thing. When we see the recession starting to hit you want to get out of this because it is all priced in.
0
DON'T BUY
Long Federal Bond Index. Long term government fund and will fluctuate greatly with change in long term yields. In a Bull market will go up substantially but in a bear market will fall. No defence mechanism possible. If interest rates go up, the fund will fall.
0
DON'T BUY
Long Federal Bond Index? People will go after long-term bonds for the yields but they should be looking at the duration and yield to maturity instead. You don’t want to be holding a long-term bond when interest rates are going up.
0
Showing 1 to 8 of 8 entries
  • «
  • 1
  • »

BMO Long Federal Bond Index(ZFL-T) Rating

Ranking : 4 out of 5

Bullish - Buy Signals / Votes : 2

Neutral - Hold Signals / Votes : 0

Bearish - Sell Signals / Votes : 0

Total Signals / Votes : 2

Stockchase rating for BMO Long Federal Bond Index is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

BMO Long Federal Bond Index(ZFL-T) Frequently Asked Questions

What is BMO Long Federal Bond Index stock symbol?

BMO Long Federal Bond Index is a Canadian stock, trading under the symbol ZFL-T on the Toronto Stock Exchange (ZFL-CT). It is usually referred to as TSX:ZFL or ZFL-T

Is BMO Long Federal Bond Index a buy or a sell?

In the last year, 2 stock analysts published opinions about ZFL-T. 2 analysts recommended to BUY the stock. 0 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for BMO Long Federal Bond Index.

Is BMO Long Federal Bond Index a good investment or a top pick?

BMO Long Federal Bond Index was recommended as a Top Pick by on . Read the latest stock experts ratings for BMO Long Federal Bond Index.

Why is BMO Long Federal Bond Index stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is BMO Long Federal Bond Index worth watching?

2 stock analysts on Stockchase covered BMO Long Federal Bond Index In the last year. It is a trending stock that is worth watching.

What is BMO Long Federal Bond Index stock price?

On 2024-02-23, BMO Long Federal Bond Index (ZFL-T) stock closed at a price of $13.