The key to finding long-term value

Over the last month, in the wake of the tragedy on 11 September, the atmosphere in the global capital markets has been highly volatile, reflecting the increased level of uncertainty for the global economy. In such an environment the outlook for global bonds is generally favourable on the back of a flight to quality, but the key to identifying long-term value lies in the underlying economic conditions. Prior to the terrorist strikes on the US, the global economy was already in poor shape. The attacks have merely accelerated trends that were already in place, as well as greatly incr...