Can corporate bond funds add zest to portfolios?

Corporate Bond funds are defined as those that invest at least 80% of their assets in sterling denominated (or hedged back to sterling), triple BBB minus or above corporate bond securities (as measured by Standard & Poors or an equivalent external rating agency). This excludes convertibles, preference shares and permanent interest bearing shares (PIBs). Corporate bond funds are, of course, part of the wider fixed interest asset class, and it is in this wider context that we consider them here. The position for corporate bonds is very much a reflection of what is happening in the wider...