Bond funds for non-US investor

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bob95
Posts: 1
Joined: Wed Apr 07, 2021 6:34 am

Bond funds for non-US investor

Post by bob95 »

Hello everyone,
I'm 25 and recently received a medium-sized downfall.
I'm leaning towards creating a classic three-fund boglehead portfolio.
I already know which ETFs I'll purchase for the stocks part of the portfolio,
I'd love to hear some advice from you for the bond part of the portfolio.
It's important to state that I live in developed country (from privacy reasons I prefer not to disclose which one) and my country's credit rating is high.
I don't know whether I should buy some global bonds ETF or only local/my government bonds in order to avoid currency risks.
It's important to state that all the bond ETFs that are currency-hedged to my country's currency have very high fees which I'm reluctant to pay (0.5% and above).
So, I consider purchasing AGGU or something like that but I'm afraid of currency risk.
What do you think? Which is a better choice in your opinion? a local govt bond etf of my country's treasury or something like AGGU?
Thanks!
glorat
Posts: 877
Joined: Thu Apr 18, 2019 2:17 am

Re: Bond funds for non-US investor

Post by glorat »

If your country's credit rating is high and you're looking to be a boglehead and worried about currency risk, it seems absolutely fine to me to buy local country bonds only for the bond part of your AA
Neuralgia
Posts: 29
Joined: Tue Mar 23, 2021 5:26 pm

Re: Bond funds for non-US investor

Post by Neuralgia »

VAGU!
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