Increasing need for credit analysis

Anyone who has been involved in the fixed income marketplace in the past few years will be more than familiar with the arguments that the future for bonds lies in taking credit risk, rather than interest rate risk. These arguments are based both on the higher yields available from taking credit risk and on the growing size and liquidity of non-government bond markets, particularly in the UK and Europe. It is ironic, then, that since the market in non-government bonds really has started to grow, the performance of the non-government bond sector has looked pretty lacklustre, even by the med...