%0 Journal Article %A Matti Koivu %A Teemu Pennanen %A Gauri Goyal %T Practical Applications of Return Dynamics of Index-Linked Bond Portfolios %D 2015 %R 10.3905/pa.2015.2.4.098 %J Practical Applications %P 1-4 %V 2 %N 4 %X Return Dynamics of Index-Linked Bond Portfolios Matti Koivu Teemu Pennanen Here’s an easy approach for institutional investors to describe future government bond returns—for both fixed-rate and index-linked bonds. In this Practical Applications report, TeemuPennanen , summarizes the findings of his article Return Dynamics of Index-Linked Bond Portfolios , which was co-written by MattiKoivu and published in the Fall 2014 issue of The Journal of Portfolio Management . The authors developed a simpler, more intuitive statistical model that explains almost 100% of monthly government bond returns across six markets in terms of just yield to maturity, or in some cases, yield to maturity and the underlying index. Pennanen is a professor of Financial Mathematics at Kings College London , and Koivu is Chief Risk Officer at Nordic Investment Bank in Helsinki. %U https://pa.pm-research.com/content/iijpracapp/2/4/1.4.full.pdf