What does 2018 have in store for fixed income?
As investors head in to the new year, three fixed income fund managers at Kames Capital give their views on what 2018 could hold in store for high yield, strategic bonds and investment grade.
As investors head in to the new year, three fixed income fund managers at Kames Capital give their views on what 2018 could hold in store for high yield, strategic bonds and investment grade.
Seneca Investment Managers has cut the allocation to equities across its portfolios after calling the end of the equity bull market in 2019.
The benign conditions that prompted investors to overlook investment grade fixed income in favour of high yield could soon come to an end according to Hermes’ credit specialist, Fraser Lundie.
Not being a student of Keynesian theory, I’ve been somewhat confused by the oft mentioned revival in ‘animal spirits’. Rather than bulls and bears, investors should beware the headless chickens.
First State Investments has set its sights on the high-yield market with the introduction of a dedicated team.
Dalton Strategic Partnership has launched a European credit fund aiming to exploit long and short opportunities and generate returns of 5-7% p.a.
With volatility expected to remain the prevalent theme in 2017, Mike Della Vedova, portfolio manager of the T. Rowe Price European High Yield Bond Fund lists five areas to watch this year when investing in the sector.
Although a shadow of political risk hovers over Europe, those keen to invest in the region can take advantage of some resilient high yield bonds and relatively cheap stocks, according to Brooks Macdonald head of research Richard Larner.
Eurozone investment grade and government bonds continued to see outflows as inflation expectations rose, according to Bank of America Merrill Lynch research.
Kames Capital’s Phil Milburn has returned to the asset manager as its head of fixed income investment strategy.
Neuberger Berman is to access the US, Europe and emerging markets with a Dublin-domiciled Global High Yield Bond Fund, headed by Patrick Flynn.
The correlation between oil and US high yield markets broke down in July, indicative of a shift in the focus of the sector.