Bonds

The Chancellor is on a collision course with bond markets over plans to change how inflation is calculated. The switch could bring the exchequer a £3.8bn windfall from a reduction in interest payments.

FIVE THINGS

In the latest Big Debate, our one-on-one special with Rathbone Unit Trust Management discussed Strategic Bonds.

Strategic bond fund managers Richard Hodges from LGIM and Fidelity's Ian Spreadbury both expect UK government bond yields to remain at their abnormally low levels for the foreseeable future.

An investors' forum representing £17.5m of business in stricken life settlement provider ARM Asset Backed Securities has called for an urgent bondholders' meeting to discuss the lack of progress in compensating investors.

In the latest Interactive Financial Adviser debate, our panelists from Brown Shipley Funds, S&P Capital IQ and TwentyFour Asset Management discussed Strategic Bonds.

SECTOR REPORT

A €100bn deal to shore up Spain's banking sector has boosted the euro and financial markets.

FIXED INCOME

Corporate bonds have staged a significant recovery in 2012, according to the latest figures from Cofunds.