Are short-dated assets the only option as Fed rate rise looms?

Mixed economic data from the US this year, as well as increased global risks, has led to a deferral in this year's much awaited interest rate rise, writes Fatima Luis, a portfolio manager and analyst at Mirabaud Asset Management.

This has proven to be very supportive to US treasury yields as well as US denominated credit products in general. This year, investors have generally looked further down the yield curve to capture returns in a low inflation world or have opted to increase risk by investing down the quality curve ie, high yield or emerging market debt. Both strategies have worked well for investors so far albeit with a lot of potential risk involved should things change. Is now the right time to invest in short dated US dollar assets as we seem to get closer to a rate rise in the US? Federal Rese...