Corporate bonds - Scope best for non-government bonds

The financial market crisis has continued to put pressure on the riskier segments of the bond market in recent months, including investment-grade and high-yield corporate bonds and emerging market debt. Despite aggressive rate reductions by the US Federal Reserve and monetary easing by the Bank of England, credit conditions have remained strained around the globe as banks remain reluctant to lend to each other. The Fed was forced to broker an emergency rescue of Bear Stearns by JPMorgan Chase, exacerbating the breakdown of trust. Margin calls on a number of leveraged hedge funds prompted ...