Focusing on the Three C’s for Fixed Income Investing
Fixed income investors have benefited from falling rates and a recovery in spreads, which has generated attractive returns thus far in 2020. As we approach the end of this unexpected year, a more prudent and active approach is necessary as the backdrop has become more challenging – valuations are less compelling; yields are low and are expected to remain so; and the duration of fixed income indices is high for the slim cushion of yield they provide. As active fixed income managers, we are focused on three C’s – curve management, (yield) carry, and the consumer-led recovery.
Fixed Income Perspectives — November 2020
Fixed Income Perspectives — October 2020
Credit Spread Dispersion Between Cyclical and Non-Cyclical Industries Reveals Opportunities
While corporate credit spreads flatlined in August, Sage sees opportunities among select consumer cyclical sectors that have yet to fully recover.