Fixed Income – Page 7
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White papersNavigating rising distress levels in leveraged loans
A direct lending strategy focused on the northern European senior secured segment offers one of the best protected high yielding opportunities at the present time, says Laura Vaughan, Head of Direct Lending.
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White papersWait and see (redux)
Recent inflation and GDP data complicate the course of central bank policy.
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White papersHigh Yield: Reasons for Cautious Optimism
As investors braced for higher rates and an impending recession, second-quarter markets performed with surprising resilience. Together with a higher-quality market and attractive yields, the case for high yield looks compelling.
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White papersCentral Bank Watch: Not sufficiently restrictive just yet
The Franklin Templeton Fixed Income (FTFI) Central Bank Watch is a qualitative assessment of the central banks for the Group of Ten (G10) nations plus two additional countries (China and South Korea).
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White papersUS vs European credit: which is more attractive?
Value had a decent 2022 while growth lagged across equity markets. This continued until March 2023, but that trend has recently been reversing. This trade-off is often associated with the relative performance of US and European stocks: US is quality growth and Europe is value, so to speak. In this weekly edition of Simply put, we ask: does the same dynamic apply in credit markets?
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White papersThe View From the Peak
Despite hawkish policymakers and very mixed economic data, the approaching plateau in rates brings more clarity and conviction to our fixed income views.
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White papersClear and easy access: Gaining entry to private credit
As private markets continue to evolve, improved accessibility is opening the doors to potentially unique opportunities across the private credit spectrum through different fund structures that seek to meet diverse needs.
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White papersInsurance Fixed Income Outlook: Transition to more liquid assets
European Insurance companies started 2023 with high solvency ratios and a good outlook to improve their underlying profitability thanks to strong rate increases in reinsurance, and commercial P&C, while 2022 prices increases in retail P&C are slowly mitigating inflation.
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White papersPrivate credit: Perspectives on opportunities and risks
Even as traditional fixed income offers more attractive rates, institutional investors continue to explore alternative credit.
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White papersHow to manage emerging market currency risk
Investing in emerging debt or equity markets is a prudent way of adding diversification to portfolios for institutional investors. Associated with investment in these assets is a currency exposure that should be wisely managed, rather than just naively assumed. In this article we look at the investment characteristics of this currency exposure and the spectrum of approaches to managing it.
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White papersDeep waves: The sovereign debt wave—an existential threat
The population of workers in mostly high-income countries are shrinking while social costs increase. Franklin Templeton Institute Investment Strategist Kim Catechis focuses on sovereign debt and examines the drivers of these changes and offers conclusions on their investment implications.
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White papersThree Reasons Why the Fixed Income Environment May Be Better Than You Think
While there are a number of risks creating volatility and unease across the market, there are also reasons to believe that today’s fixed income markets offer a range of compelling opportunities.
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White papersGlobal Risks 2023 – Mid-Year Review
Since our last global risks update in January, we believe risks have increased, on balance.
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White papersChanging demand dynamics: Opportunities for European insurers
September 2022 caused a fundamental shift in the UK defined benefit (DB) pension market, as well as the demand dynamics for certain asset classes. European insurers are one of the few large institutional asset owners who are able to take advantage of these changes with opportunities presenting themselves across the balance sheet.
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White papersSwiss inflation target signals more tightening
Following the Swiss National Bank’s latest monetary policy meeting, we consider the inflation backdrop in Switzerland and explore factors that argued against a larger hike.
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White papersWhat inflation will cost the UK
In the UK, the significant upside surprises in core inflation for April and May, as well as accelerating private sector wages, signal that the risk of a wage-price spiral is gaining momentum.
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White papersRate Reduction Bonds - Finding Value in an Esoteric Market
Although not without risk, rate reduction bonds are high-quality bonds that offer a range of duration profiles and a notable yield advantage over other similarly rated securities.
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White papersDemystifying recent banking turmoil: What happened and what’s next?
Markets have calmed down considerably since the high-profile failures of Silicon Valley Bank and Credit Suisse put the banking system in the spotlight. Is the worst really over or will other large banks come under pressure? Here, we explore the recent collapses and their causes, and share our views on whether, and which, banks may experience further trouble.
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White papersKeeping Your Balance as the Credit Cycle Turns
Striking the right balance between interest-rate and credit risk can be a good idea in the late stages of a credit cycle. We think it’s a particularly good idea in this credit cycle.
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White papersEU aims to make green bonds greener
Reflecting the growing volume of green bonds, the European Union has agreed a new set of rules known as the European Green Bonds Standard (EUGBS) that can be seen as a positive step from a reporting and transparency perspective. The regulation is due to take effect late into 2024.
