Mark Northway: Why critics might be wrong about deserting 60/40

Wherever you look, the bond doomsayers are there. Their message is that the fixed income bull market, fueled by decades of falling rates, simply cannot go on any longer with yields across trillions of dollars of securities at zero, or even negative. Add in the prospect of rising inflation, which erodes the capital returns portion of a bond, and investors in the likes of the classic 60/40 portfolio need to take urgent action, so the narrative goes. It's hard to deny that the question ‘why hold fixed income?' is becoming increasingly valid and that its answer is becoming increasingly ch...