Fixed Income – Page 13
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White papersBond markets: An investor’s Swiss army knife
Fixed income markets provide investors with an abundance of tools to adapt portfolios in the face of heightened economic and policy uncertainty.
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White papersBuried Treasuries
Why U.S. government bonds had a scare, what calmed them down, and what all that suggests for the next few months.
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White papersModerating inflation keeping ECB on track
The eurozone economy is facing a dramatic increase in macroeconomic uncertainty. Changes in US foreign policy are forcing a re-think of Europe’s defence spending and Germany’s fiscal stance. The economic outlook is clouded by US trade policy, with the imposition of tariffs a significant shock to growth.
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White papersFixed Income Investment Outlook 2Q 2025
The Trump administration’s announced tariffs have introduced new turbulence to the markets as investors seek to assess the possible ramifications across economies and asset classes.
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White papersFixed Income Perspectives Q2 2025
Quarterly macro and market insights from Capital Group’s fixed income team
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White papersFixed income update: Bonds reclaim role as a volatility buffer
High-quality bonds are an important portfolio diversifier in uncertain markets
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White papersBeyond traditional fixed income: Diversifying into specialty finance
Investors are seeking to diversify their fixed income and credit exposure. Of the options available, structured finance has emerged as a compelling choice as a complementary allocation. Learn how it can help diversify and enhance returns within portfolios.
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White papersDemocracy in decline: the impact on financial markets
World leaders are getting older and global democracy scores are falling. What are the potential outcomes for global markets?
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White papersFixed on Bonds: What do tariffs mean for the automotives industry?
Threats of tariffs have been hitting the sector from multiple angles. It is hard to keep up, but this is what we know so far.
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White papersThe Tale of Tariffs Round Two for the US Economy
How might the recently announced US trade measures translate into economic reality?
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White papersWhat do tariffs mean for emerging market debt?
At this point, it is challenging to determine the precise impact of tariffs on EM economic activity as there are too many moving parts, including the possibility of negotiated reductions, retaliatory actions by US trading partners, and fluctuations in the currencies of affected economies. That said, we can look at the current level of tariffs and exports to the US to give us an idea about the portion of EM GDP that is at risk.
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White papersTrump’s Tariffs: The Impact on Fixed Income
New tariffs could hamper U.S. economic growth and change market dynamics for the long term.
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White papersFixed income at the crossroads of trade and trust
Trade tensions and shifting alliances are shaking investor confidence in 2025. This article explores how fixed income markets are navigating the dual challenges of inflation and geopolitical uncertainty, with a focus on the evolving role of U.S. Treasurys as a global safe haven.
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White papersTariffs explained: Assessing global economic impact
The much-anticipated “Liberation Day” on 2 April has provided investors with more details on the direction of US trade policy under the Trump administration. Despite hopes of a more moderate approach, the tariffs were much more substantial than expected, raising the prospect of lower economic growth, higher inflation and interest rate cuts.
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White papersTariffs and credit markets
In the US, the Trump administration’s imposition of tariffs on imports from trading partners across the world has seen markets plunge. Here is what we are thinking as a credit desk and how we are approaching portfolios
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White papersThe macro fallout from ‘Liberation Day’
The sweeping tariff hikes announced on “Liberation Day” have escalated fears of stagflation, pushing recession odds higher and rattling markets. With inflation likely to rise and GDP growth projected to drop by up to 2.4%, the economic strain could be the most significant since the 1930s. Still, investor sentiment may recover as attention shifts toward pro-growth policies like tax cuts and deregulation.
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White papersM&A Renaissance. Exploring Fixed Income Opportunities
M&A activity, which is growing among IG and HY issuers, is driven by expectations of lower funding costs and a weak macroeconomic environment. This trend, which is set to strengthen, generates investment opportunities in new bond issues, often priced at a discount, to be evaluated with rigorous analysis to select the most promising opportunities.
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White papersGlobal Macro Outlook: Second Quarter 2025
Uncertainty is the watchword for the global economy. Dramatic policy shifts—tariffs in particular—by the Trump administration 2.0 have so far surprised financial markets and softened consumer sentiment. But we see a global economy well positioned to absorb potential shocks in the months ahead.
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White papersHas US high yield been impacted by recent market volatility?
The US High Yield (‘HY’) market has so far demonstrated resilience throughout the current period of recent market volatility. For the HY asset class, a low, positive GDP environment can potentially offer a constructive environment. Short duration approaches should offer a nice balance of potential outcomes.
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White papersFive factors for long-term investors considering high yield
Since Covid-19 disrupted markets in early 2020, high yield has been one of the best-performing fixed income sectors. In fact, it has significantly outpaced the Bloomberg US Aggregate Index (and Global Aggregate Index), US corporate bonds, emerging markets bonds and securitised credit — and by a wide margin.
