Buy Long-Term S.Africa Bonds as Economy Wilts, Futuregrowth Says

  • Rand undervalued while economy impeded, Old Mutual Unit Says
  • Comfortable with `very gradual tightening' by central bank

South African long-bond yields offer better value than cash and medium-dated bonds in an economy battered by a drop in commodity prices and a weak currency, according to Futuregrowth Asset Management Pty Ltd., a unit of Old Mutual Plc.

To continue reading this article you must be a Bloomberg Professional Service Subscriber.