The yield curve represents the relationship between interest rates on bonds across different maturities, ranging from both short-term to long-term.
The yield curve is a key tool used by financial analysts to forecast future economic and inflation conditions and to project future interest rate changes, as such understanding the yield curve is crucial to making informed investment decisions.
The Edge Singapore spoke to Winston Lim, head of deposits and wealth management at UOB, on understanding the different yield curve shapes and the distinct implications it has for various asset classes.
