With interest rates at record lows and investment-grade credit barely offering returns above the cash rate, where are the pockets of value in fixed income? Michael Korber, Head of Fixed income and Credit at Perpetual Investments, says the private debt market is emerging as an attractive opportunity amid the search for yield. Conversely, with risk premiums so low, Korber is wary of long-dated securities due to their susceptibility to market disruption. In this short interview, the bond manager expands on his outlook and points out why the “creep in the level of leverage” among borrowers makes it important to be selective about issuers.

Make sense of the fixed income landscape