Corporate bond sector continues to thrive

The Corporate Bond sector has been a relatively good place to invest over the past three years, with funds offering steady returns throughout the period. The average portfolio returned 22.04% on a bid-to-bid basis over the three years to the end of March 2003. Only one fund, the Smith & Williams Fixed Interest portfolio, posted a negative return in any discrete one-year period, returning -2.72% for the year to the end of March 2002. Funds that significantly underperformed often did so because of just one or two holdings in companies that defaulted. This was the case for Exeter Fixed I...