Opportunities rising in short-dated corporates

Professional Adviser
clock

Corporate bonds look set to outperform gilts in 2002, as global markets tentatively head toward anot...

Corporate bonds look set to outperform gilts in 2002, as global markets tentatively head toward another growth cycle. With interest rates likely to rise throughout the year, opportunities in shorter-dated bonds could emerge as the market prices in the forthcoming monetary tightening overzealously. Will Hay, head of fixed interest at Standard Life Investments, says: 'Bond markets have priced in a great deal of monetary tightening over the next 12 months. Interest rates could stay lower for longer than markets expect, which will be positive for the short end of the yield curve.' Hay sa...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on uncategorised

Building Society-owned Newcastle Financial Advisers acquires Openwork firm

First of a number of acquisitions

Hannah Godfrey
clock 09 December 2019 • 1 min read

Bond managers fear hedges being undermined as liquidity dries up

The recent sell off in the bond market and growing liquidity issues have forced bond investors to use similar hedging techniques, undermining their effectiveness and causing concerns about how much downside protection funds really have.

Anna Fedorova
clock 03 July 2013 •

Police launch investigation into mortgage middleman fined £1m

West Midlands Police have launched a fraud investigation into a Birmingham financier over his role in sale and rent back agreements.

clock 25 June 2013 •