Strategic bond fund managers have spent 2019 de-risking their portfolios amid rising global uncertainties, mirroring similar moves from both their global equity and multi-asset counterparts.
Managers of some of the largest funds in the Investment Association (IA) Sterling Strategic Bond sector have been moving out of riskier high-yield and emerging market assets throughout the year. They have been rotating towards government bonds in both the US and UK, or upping the quality of investment grade corporates they lend to. The move comes as trade tensions continue to ratchet up, the global economy keeps slowing and Brexit uncertainty grows. Evidence suggests investors running global equity mandates have become more defensive in their positioning, too. Meanwhile, UBS Wealth...
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