This brief update revisits the main tenets of “The Bleak Future of Bonds” paper and provides updates to some key numbers in the aftermath of the COVID-19/coronavirus crisis and what this means for portfolio construction going forward.
Our global fixed income trading team provides valuable insights that inform the positioning in our fixed income portfolios.
The eurozone's post-COVID recovery is set to be slower and more painful than China's.
Turbulence for municipals may present opportunities, and we believe that credit research is of increasing importance.
The trends of rising global bond yields and interest rate volatility are likely to continue in fixed income markets.
Fed policymakers will not tighten monetary policy until inflation remains above 2% and job gains are robust.
Lower CLO issuance and slowing loan downgrades, along with some attractive yields, have produced value in certain CLOs.
Over the coming decade or two, bonds are unlikely to fulfill their dual role of income and capital preservation. Bond investors will be forced to choose between income or capital preservation, and there is a good chance they could end up with neither.
The high yield bond sector represents attractive value because of its improving credit quality and inexpensive valuations.
T. Rowe Price's working group provides an update to the plans to replace LIBOR with new alternative reference rates.
U.S.-based bond investors who hedge the currencies of foreign bonds can obtain higher yields and mitigate portfolio volatility.
Worth the Risk? Investors in this space have always emphasized higher levels of income or growth rather than capital preservation. While these investments are often termed “speculative,” are investors truly aware of the amount of risk in these asset classes?