Nairobi, July 15 -- Bonds turnover at the Nairobi Securities Exchange (NSE) fell by 21.8 percent in the first half of 2020 compared to a similar period last year as investors held on to the low risk government securities as a buffer against low returns elsewhere in a Covid-19 affected economy.
NSE data shows that the secondary market turnover for bonds declined to Sh283.8 billion in the six month period from Sh363.1 billion last year.
Given that other asset classes such as equities have been hit by the Covid-19 effects, investors viewed bonds as a safe bet to protect their returns and were therefore less inclined to sell on these assets at the exchange.
INVESTOR TASTE
"The decline in secondary bond turnover can be attributed to investor...