All Fixed Income articles – Page 35
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White papersWait-and-See Characterizes Mood of CLO Market
As concerns about the banking sector add to continuing macroeconomic uncertainty, the CLO market finds itself largely becalmed as participants await clearer signs of the market’s future direction.
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White papersPM Spotlight: A Stock-picker at Heart Manages High Yield Bonds
This issue of PM Spotlight profiles Sarah Harrison, senior portfolio manager for Plus Fixed Income. Read about Sarah’s first great high-conviction trade in high yield and what keeps her coming back to high yield bonds.
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White papersOccupier demand delivers clear opportunities for lenders
Post-Covid, occupiers’ demand for best-in-class office buildings is presenting an opportunity for lenders, argues Dan Riches, Real Estate Debt Co-Head at M&G Investments, in this recent interview.
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White papersCutting the Gordian EM Restructuring Knot
Our proposal addresses the current standstill facing EM sovereign debt restructuring as well as improves participants’ incentive to maintain market access following a debt restructuring.
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White papersHow Will the Banking Crisis Reshape Financial Credit?
Banks’ stock and bond prices were battered by the crisis that overtook US regional banks Silicon Valley Bank (SVB) and Signature Bank (SB) and Swiss banking giant Credit Suisse (CS). We believe that the underlying causes of these failures were idiosyncratic rather than systemic. US and European central banks appear to agree, as they have demonstrated their confidence in the banking system by continuing to hike rates.
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PodcastMaking investments in infrastructure debt impactful
Making investments in infrastructure debt impactful from a sustainability angle requires a perspective that goes beyond an attractive risk-return ratio and obvious green infrastructure assets such as solar plants. Apart from a wide network to source loans that are suitable, there is a need for a strong research and assessment capability to safeguard their ‘greenness’.
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White papersSlowly Slowing
One year since the inception of our Stagflation Shock scenario, the global economy continues to face elevated inflation and falling growth. Both are slowing, but they are slowing—slowly. And the descent has not been smooth.
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White papersWhat the ‘next normal’ means for fixed income: reimagining core bonds
After three years of COVID, roller-coaster economies, inflation and central banks’ frantic fight against an uncertain future, it appears we may finally return to the world we used to know. The “new normal” – where rates are low, volatility subdued, and investors are willing to take on more risk – could yet return. But can it be so simple? After all the upheaval, are we really returning to the pre-COVID era?
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White papersIncome Generator: Beyond the Inflection Point
Volatility across the banking sector will likely mark an inflection point in policymakers’ current tightening cycle. We lay out five specific themes to help fixed income investors navigate the shifting markets.
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White papersA Solid Case for IG Credit, But Caution is Required
Against a backdrop of elevated uncertainty, IG corporate credit—with healthy corporate balance sheets and a relatively attractive total return potential—looks well-positioned.
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White papersPotential Opportunities in the US Banking Sector
Despite the failure of a handful of banks in the US and one in Europe, our view is that 2023 will not present a financial crisis near the magnitude of the Global Financial Crisis (GFC) in 2008. The three failed US banks, Silvergate, Silicon Valley and Signature, had unique business models that proved to be meaningful weaknesses. They raised concerns about firms with close financial ties to small banks, particularly speculative technology and related stocks, such as cryptocurrencies, that unwound when they were caught in a bubble.
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White papers*The resilience and diversity of infrastructure debt*
For investors eyeing stable long-term income from a broad and diverse asset class, European infrastructure debt can be a resilient solution. It has been as robust in times of crisis – witness its performance during the pandemic – as it has been across economic cycles. What is its secret? Infrastructure provides services that are in demand whatever the economic climate.
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White papersGlobal Macro Outlook - Second Quarter 2023
Besides inflation and tight monetary policy, a banking crisis has added to investor anxieties. The bank turmoil won’t likely be a drag to global financial markets. But it does argue for caution when combined with our broader expectations of a sustained period of below-trend growth.
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White papersAs Credit Goes, So Goes the Economy
Credit is the lifeblood of the economy, and the credit system just had a heart murmur.
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White papersState of the Market: A Turn for the Better, but Struggles Persist
In this piece from Private Debt Investor, Stuart Mathieson, Head of Investments in Barings’ Capital Solutions group, discusses the growing opportunity set for lenders who can provide financing solutions for companies facing market stress and volatility.
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White papersHigh Yield: Charting a Steady Course Through Roiling Seas
Banking stresses added volatility to first-quarter markets already coping with rising rates and recession fears. Still, with corporate fundamentals sound, high yield investors and issuers are more cautious than fearful.
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White papersA tale of two markets: Contrasting the fortunes of European and US High Yield
The European High Yield (HY) market has outperformed the US market over the last five, 10 and 20 years. We compare the trends in charts and ask: Will this continue and what are the main similarities and differences between the US and European markets?
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White papersMacroeconomics, Geopolitics, and Strategy - April 2023
”The tightening in credit conditions should reduce core inflationary pressures, partly replacing the need for monetary policy action.”
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White papersFinancial stability concerns to tip the balance towards a US recession
Recent stress in parts of the banking sector will raise funding costs and reduce lending to many sectors. Now we expect the US economy to shrink by - 1.1% in 2023, driven by a contraction in domestic demand. Eurozone growth should stagnate amid inflation remaining high.
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White papersCross Asset Investment Strategy - April 2023
Financial stability concerns to tip the balance towards a US recession.
