Is corporate debt a safer bet?

BONDS

Hilary Brown, investment strategist at Alexander Forbes Wealth Management, looks at whether corporate bonds are a viable alternative for investors wary of government debt.

One of the questions investors have been asking recently is – do I trust solid, longstanding companies with my money more than I trust governments? Or rather, am I more likely to make a consistent return from the former rather than the latter? The reason for such a question is understandable considering the Greek debt crisis and questions surrounding the economies of countries such as Spain and Italy. Indeed, with the future of the eurozone being thrown into doubt, it is not surprising that some investors are thinking of turning to corporate bonds, even though they are traditionally h...