Fixed Income Markets in the Spotlight

Finding yield in today's changing market environment

Recent fund flow data shows that investors continue to find appeal in fixed income products. However, allocators have become pickier as generating risk-adjusted returns on a consistent basis has become more challenging. Below you can find the latest insights into fixed income markets hand-picked to help you make the right decisions for your portfolio.

Why Cash Won’t Cut It For Long: The Case For Bonds (Wellington Management)

The Fed’s inflation fight today is tougher than it has been in past economic cycles, so the Fed may keep hiking rates for longer than expected.

Global Fixed Income And Municipal Markets Q3 23 Outlook (Nuveen)

Looking ahead, credit spreads are poised to widen in the coming months, likely presenting more attractive entry points for risk taking.

Protecting Against Rising Rates With High Yield Bonds (Qontigo)

This paper demonstrates that high yield bonds can offer an attractive hedge in times of rising interest rates and tight monetary policy.

The US High Yield Default Cycle: Where Are We And What's Next? (Invesco)

Fixed income investors should focus on these four key indicators since they all have good track records of predicting recessions in the short-to-medium term.

Accessing Deep Liquidity In The 2-year Treasury Note (CME Group)

Lately, bond traders are getting hit by a slew of crosscurrents. The market appears to have exited the Peak Fed period, with traders anticipating minimal future FOMC actions.

How Is Direct Lending Faring in the New World? (DWS)

One sentiment in the market is that default rates in the leveraged loans market are going to stay artificially low for the foreseeable future.

Income Strategy Update: Attractive Yields, Resilient Returns (PIMCO)

The inverted yield curve can allow investors to seek attractive income without taking significant interest rate risk further out the curve.

LATAM and Caribbean Sustainable Debt (Climate Bonds Initiative)

The GSS+ bond markets in Latin America and the Caribbean (LAC) have experienced sustained growth since their inception in 2014.