This translation has been automatically generated and has not been verified for accuracy.Guaranteed investment certificates have been their usual selves during the financial market turmoil of 2020, which means they paid interest on schedule and held their value. In the worst of it, back in March, some investors fretted about the risk of losing money if their GIC issuer became insolvent and deposit insurance proved inadequate or faulty.
Your actual return from bond ETFs depended on what was in the portfolio. A diversified bond ETF holding government and corporate bonds with a mix of short, medium and long maturity dates would have made you about 5 per cent for the year to April 30. A diversified short-term bond ETF would have been in the 3 per cent range. A fund holding only government bonds would have delivered returns around 13 per cent.