The smarter way to think about bond investments

CORPORATE BONDS

clock • 4 min read

Tony Adams, head of global fixed interest and credit at First State Investments, explains why the addition of tools such as quantitative credit risk measures, are necessary for credit analysts to evaluate risk and return more accurately in the bond market.

The last few years have seen boom times for corporate credit, with a positive environment for many companies to access the bond markets. This is not always positive for investors however, as these market conditions can attract companies whose fundamental strength does not support their credit rating or market spreads. Credit analysis that is focused primarily on a detailed examination of a company’s balance sheet and forward earnings projections, is akin to a driver focusing only on the road straight ahead. Analysts need to be aware of what is going on up ahead, to the sides, and in t...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Bonds

Treasury pushes ahead with digital gilt pilot using BoE's Sandbox

Treasury pushes ahead with digital gilt pilot using BoE's Sandbox

Digital version of government bonds

Eve Maddock-Jones
clock 19 March 2025 • 1 min read
Partner Insight: What do tariffs mean for bond investors?

Partner Insight: What do tariffs mean for bond investors?

A Trump presidency means many things. For bondholders, the key risk is the increased rates volatility through President Trump's tariffs and policy announcements via social media platforms. Against this backdrop, Fidelity fixed income managers Kris Atkinson and Shamil Gohil, highlight why they continue to find the best risk-adjusted opportunities in the front end of the Sterling credit curve and why they remain overweight this segment of the market in our all-maturity portfolios.

Kris Atkinson and Shamil Gohil, Fixed Income Portfolio Managers, Fidelity International
clock 11 March 2025 • 5 min read
Fund to Watch: A global focus on idiosyncratic opportunities

Fund to Watch: A global focus on idiosyncratic opportunities

Ahead of Investment Week's Funds to Watch conference, Capital Group's Alvaro Peró Gala, explores diversification, resilience and portfolio stability in 2025

Alvaro Peró Gala, Investment Director at Capital Group UK
clock 26 February 2025 • 6 min read
Trustpilot