Fed and foreign investors earn lower returns on Treasuries, paper finds


The US Federal Reserve and foreign investors tend to earn a lower return on their US Treasury holdings because of the dynamic trading strategies they employ, new research finds.

Published by the National Bureau of Economic Research in the US, the working paper studies the “timing dimension” of trading in the US Treasury market.

Authors Zhengyang Jiang, Arvind Krishnamurthy and Hanno Lustig note previous studies have shown foreign investors are willing to accept a low return and typically have

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@centralbanking.com or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact info@centralbanking.com to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Central Banking? View our subscription options

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account