Not all fixed income is created equal

An allocation to fixed income is an essential component of an investor's portfolio in order to diversify returns and reduce overall risk. However, not all fixed income is created equal. With government bond yields low, and market cash rates in some developed countries close to zero, investors are questioning the role of traditional fixed income exposures in a diversified portfolio. This is highlighted by the trend to substitute traditional fixed income (government bonds) with higher yielding corporate debt.

Download the full article