All Fixed Income articles – Page 55
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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 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.
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White papersA forced hand: market snapshot
The Bank of England hiked rates for the 13th consecutive time on Thursday, amid worse-than-expected UK inflation data.
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White papers2023 Midyear Outlook report
As we reach the midpoint of 2023, global markets have shifted from binary to balanced, from either/or investment choices to a much broader set of opportunities − which is good news for active investors.
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White papersHow to Get the Most From Private Placement Debt
Private Placement Debt can offer fixed income investments enhanced diversification, risk-adjusted yield and downside mitigation. We anticipate growing recognition of the role it can play in a wide range of investor portfolios.
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White papersWhy R-star may rise, and its implications for rates and policy
R-star is the real interest rate that is neither expansionary nor contractionary when the economy is at full employment. If the central bank sets its policy rate below R-star, then its monetary policy position is accommodative. The Fed currently believes R-star is about 0.5%, which is significantly lower than the Fed’s calculation of 2% a decade ago.
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White papersBond outlook: Fed pause leaves many paths to income potential
Bonds today provide a sensible option to the dilemma facing investors — what to do as markets ricochet between hopes of a soft landing and concerns of a recession? After a rough 2022, fixed income is back to fulfilling its role as a source of stability and diversification.
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VideoOpportunities in US high-yield credit
Shannon Ward, fixed income portfolio manager, discusses numerous factors she believes are creating a compelling opportunity in US high-yield bonds.
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White papersNavigating Uncertainty 2.0 - Are bonds in the sweet spot?
Since the start of the year, the potential long term investment opportunity for fixed income has increased. Problems in the banking sector have raised the prospect that central banks will now pivot toward ensuring financial stability and either pause, or start cutting, rates. This increases the chances monetary policy could shift from a headwind for bond markets to overcome into a tailwind supporting results.
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White papersHow private credit can help fulfil long-term investment needs
In these volatile times, investors with long-term horizons such as global pension schemes need to find assets that can reliably deliver income whilst minimising volatility in challenging environments, but where could they invest in order to meet their requirements?
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White papersPutting the ‘investment’ in investment grade credit
Investment grade bonds have historically provided a resilient and reliable option during volatile and uncertain market conditions. After last year’s sweeping sell-off, the global investment grade universe now offers an array of opportunities in quality issuers, allowing for effective diversification and the potential for attractive returns.
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White papersWhat gives, corporate hybrids?
Recent underperformance is a response to idiosyncratic newsflow and shouldn’t be seen as a reflection on the broader asset class, says Credit Portfolio Manager Mark Dove.
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White papersStubbornly high inflation sends bond yields higher
UK inflation fell by less than forecast in April, Wednesday’s data revealed, prompting expectations of further interest rate hikes, and pushing bond yields to their highest levels since October.
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White papersLooking beyond traditional LDI instruments as de-risking gathers steam
In 2022, we saw one of the most unprecedented movements in global financial markets in modern history. A combination of global geopolitical problems and supply-demand imbalances of goods and services due to the pandemic left the Federal Reserve (Fed) with no option but to try and slam the inflationary brake by hiking short-term interest rates to stop the economy from overheating.
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White papersThe case for a higher-inflation regime
Financial markets are convinced headline inflation rates will fall sharply towards central bank targets over the next two years, with stable expectations in the medium to longer term.
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White papersIs the long-term case for emerging market debt still intact?
2022 was a difficult year for fixed income in general, including emerging market debt, amid high inflation and aggressive rate hikes by central banks. While the global backdrop remains a headwind for emerging markets, relatively strong macroeconomic fundamentals in the major EM countries, combined with high starting yields and undervalued exchange rates within local currency debt should provide a buffer to any further volatility.
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White papersThe decade ahead for private credit
In this special issue of Private Debt Investor, Nuveen CEO Jose Minaya and Churchill President and CEO Ken Kencel reflect on the evolution of private credit over the past decade: today, it has not only become an established part of the institutional investor allocation mix, but is increasingly seen as the primary source of financing for middle market companies and their private equity owners. Having proven its worth to the market, the industry is set for further change and growth.
