Inflation v deflation: credit is the answer

What does the marked in rise in inflation to 2.9% mean for exposure to fixed interest funds.

The inflation versus deflation debate has continued across the pages of Investment Week ever since the BoE first cut rates to a historic low and then introduced quantitive easing. But with the latest economic news, could the picture be clearing? Last week at a private client presentation, Jupiter’s Edward Bonham Carter pulled a Zimbabwean $100,000,000 dollar note from his wallet. He said he kept it as a reminder of what happens when money supply gets out of control. He also pointed out the note was only enough to buy a single loaf a bread when it was printed and, soon afterwards, lost...