ETFs investing in euro government bonds have seen the highest inflows of EUR 4.2 billion since the start of the year, making them the best-performing bond category. Among the top-performing ETFs in this category, four out of eight are from iShares, with strong one-, three-, and five-year returns.

Euro government bond portfolios invest in government or agency securities guaranteed by governments, denominated in euros or hedged to eliminate exchange rate risk. These funds have returned 2.50% over the past year, remaining steady over three years and losing 2.13% over five years. This compares to the Morningstar Eurozone Core Bond index’s returns.

The top-performing EUR government bond ETFs include Xtrackers II iBoxx Eurozone Government Bond Yield Plus UCITS ETF, Amundi Euro Government Bond 3-5Y UCITS ETF, Xtrackers II Eurozone Government Bond 5-7 UCITS ETF, and others. These funds have shown strong performance over various timeframes, outperforming their category averages.

Read more at Morningstar: The Best-Performing EUR Government Bond ETFs