Bonds diverging within fixed income sector

Gilts and government bonds the only asset class outperforming in the fixed income sector, with lack of liquidity hitting corporate bonds especially hard

Our latest Conjecture debate considers the outlook for fixed income investing. Bonds are normally seen as a safe haven in times of equity market volatility, but when that is sparked by solvency fears, the risk of bond defaults becomes a real possibility. Our panel this week welcomes Chris Iggo, chief investment officer for fixed income at Axa Investment Managers, Mike Zelouf, director of London business and investment product specialist at Western Asset Management, part of Legg Mason, Bryn Jones, manager of the Rathbone Ethical Bond fund and James Mashiter, an associate in fund research a...