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

Multi-billion pound industry

clock • 3 min read

The logic for holding fixed income is increasingly under scrutiny but exiting could do more harm than good, writes Mark Northway

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...

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 Investment

What does a new PM and chancellor mean for investments?

What does a new PM and chancellor mean for investments?

'What is important is what happens over the long term'

Jasper Thornton Boelman
clock 23 July 2026 • 4 min read
SJP rebrands global equity income fund and reduces charges

SJP rebrands global equity income fund and reduces charges

Appoints Acadian as investment adviser

Patrick Brusnahan
clock 22 July 2026 • 1 min read
Beyond the 60/40: Why the traditional portfolio blueprint is being tested again

Beyond the 60/40: Why the traditional portfolio blueprint is being tested again

'Bonds should not be doing all the defensive work'

Will Dickson
clock 09 July 2026 • 4 min read