Legal and General Investment Management's credit strategist Ben Bennett discusses whether the insatiable demand for fixed income assets can be sustained.
Macroeconomic risks have rarely been greater. Many economies are at stall speed if not outright recession, the US is facing the uncertainty of forthcoming elections and a looming fiscal cliff, while the euro crisis appears to be reaching a make-or-break moment. Despite this uncertainty money keeps coming into fixed income funds, reacting to the low interest rate environment by looking for yield. Is this the result of successful non-standard monetary policy, or another bubble waiting to burst? By cutting interest rates to virtually zero and then buying significant amounts of governme...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- 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
