fixed income

Schroders Broker Survey - Volatility impacts as investors focus on protecting capital

Schroders Australia

Schroders Australia has completed its third broker insights survey, diving into how brokers are investing. Volatility has pushed the need to protect capital to the top of the priority list. Show More

Emerging macro trends

Etienne Alexiou

April was a very interesting month in respect of the continuing pressure on the price of financial assets. Globally economic data moderated over April which has been framed as an expected deceleration from the exceptionally strong pace of Q417, however if we look at the macro economic surprise indices which... Show More

Conventional asset allocation - will it meet your expectations after the inflection in interest rates?

Paul Moore

In the video below, taken from the recent PM Capital Adviser Forum, Chief Investment Officer Paul Moore discusses why equities still stack up versus other asset classes, particularly government bonds. He also comments on modern asset allocation and why advisers and their clients need to think differently. Show More

fixed income asset allocation pm capital global equities

Diversify your income stream

Steven Fleming

Investors hunting for yield from listed companies today face unreliable yields, and falling capital values as rates creep higher, as well as new additional risks posed by government policies. However, investors can diversify their income and access comparable yields from other parts of the market not exposed to such headwinds. Show More

Recommending the Gryphon Capital Income Trust

Simon Fletcher

The domestic Residential Mortgage-Backed Securities (RMBS), and broader securitisation market has historically been restricted to institutional investors. However, the Gryphon Capital Income Trust (GCIT) offers a unique investment opportunity in providing exposure to this market for retail investors. Show More

18 Easter treats for income investors

Leigh Winton

Over the years, we’ve presented a range of sample portfolios to new and existing clients on the types of fixed income investments available. Our Australian dollar investment grade portfolio was developed by our Portfolio Strategy and Research teams to show an example portfolio and the associated yields on offer. Show More

fixed income FIIG investment grade bonds

Protecting investors through ‘skin in the game’

Steven Fleming

Despite the complex name, securitization is a simple concept. Securitization is taking an illiquid pool of assets and converting them to liquid securities. Securitization got a bad rap in the wake of the GFC, but in Australia, there are important differences to the “sub-prime” market in the USA. This video... Show More

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It's right to worry about US inflation

Simon Doyle

Although much of the focus remains on the February market activity, a tipping point between unemployment and inflation in the US approaches and so inflation remains a key risk. February revealed the first cracks in the relative market stability of the last year, as higher inflation fears both drove bond... Show More

inflation fixed income us schroders

A dangerous consensus

Livewire Exclusive

At the height of the financial crisis, credit markets seized up and liquidity disappeared. In the aftermath of Lehman’s bankruptcy, this caused huge headaches for investors, institutions, and regulators. It may surprise you to learn then, that turnover in these markets is lower today than it was at the nadir... Show More

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Outlook 2018: Australian credit remains attractive

Nick Bishop

We expect 2018 to be a stable year for Australian fixed income, with the performance of the domestic economy constraining the RBA’s ability to increase interest rates in the near-term. This is predominantly the result of weak wage growth and inflation running below the RBA’s target. The former is due... Show More

credit fixed income 2018 Outlook Series

Fixed Income Outlook for 2018 – Damien Williamson

Bell Potter

2017 year has been a positive year in the ASX Debt and Hybrid market, where an absence of shock events has restored investor confidence. A 0.34% fall in major bank wholesale funding costs has also been supportive of the hybrid market, combined with historically low levels of market volatility. With... Show More

fixed income bank hybrids

Q4 Investment Outlook: Braver for longer…

Fidelity International

How long can the good times roll? The second-longest yet arguably most-hated bull market in post-war history just grinds on and on, while investors get more worried by the day. Valuations in some areas are certainly becoming stretched, but overall they remain some way off the peaks seen in 2000.... Show More

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Bond Bull Rips Apart Bears

Christopher Joye

In the AFR today I dwell on the doves' case apropos "low rates for long" and, in particular, engage with the lord of the domestic bond "bulls", Charlie Jamieson, who is uncompromising in his evisceration of the bond "bears" as represented by the likes of Tim Toohey and Brett Gillespie... Show More

interest rates rba bonds fixed income JCB

Spectrum Insights – Average focus, below average outcome

Damien Wood

Investment prices keep rising. Valuations are now well beyond long term averages for many asset classes. Pundits are increasingly calling for a big correction. Fears of overvaluation is also found in the corporate bond market. Credit spreads – the extra margin for default risk – are now notably lower than... Show More

Webinar: MCP Master Income Trust IPO

Livewire Equities

Metrics Credit Partners has announced confirmed demand of over $400 million for the initial public offering (IPO) of the MCP Master Income Trust (ASX: MXT), making it one of the largest listed managed investment raising in Australia to date. This webinar provides an overview of the offer and investment process. Show More

Spectrum Insights - The capital adequacy fallacy

Damien Wood

The recent collapse of a Spanish bank, two Italian banks, and a missed payment on tier one notes from a German bank reinforced some core beliefs for investing in bank capital. These are:- Show More

Linkers surge on UK inflation shock: a British history lesson

Ardea Investment Management

The events surrounding Brexit have spun off many important lessons for markets, not least of which is the importance of considering all possible outcomes when assessing risk in financial markets. Show More

fixed income brexit inflation linked bond

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Australian banks– flaunting history

Damien Wood

Risk management, or the lack of it, is usually the key difference between the fortunes of banks when times get tough. History books are full of evidence of what went wrong after a financial calamity. That’s the easy part. The hard part is to foresee the problems. The high level... Show More

Two charts we are watching closely right now

Ardea Investment Management

As fixed income investors concerned with protecting the value of client portfolios, two interesting charts for us at present are the outlook for US as well as Australian inflation and the level of volatility in fixed income markets. Show More

inflation fixed income volatility Ardea Investment Management

The Best Bond?

Damien Wood

The argument usually comes down to Connery or Craig. Both highly popular James Bonds brought different styles to the big screen. The “best” 007 actor, though, maybe more a case of which one best suited the social environment of the time. For investors, the best bond, similarly, largely depends on... Show More