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            Bond Bulletin

            An old hedge for a new risk

            GI
            GFICC Investors
            Published: 22/10/2026
            The market has begun separating companies with balance sheets that can fund their capital expenditure from those that cannot. In this week's Bond Bulletin, we explore how duration has reasserted itself as a hedge against AI sentiment risk.

            Implications for Fixed Income investors

            This episode showed that duration can act as a hedge when market sentiment shifts against AI-linked risk, reasserting its traditional role. With broader fundamentals still looking healthy, credit selection remains the key to separating the winners from the losers within the AI investment cycle.

            About the Bond Bulletin

            Each week J.P. Morgan Asset Management's Global Fixed Income, Currency and Commodities group reviews key issues for bond investors through the lens of its common Fundamental, Quantitative Valuation and Technical (FQT) research framework.

            Our common research language based on Fundamental, Quantitative Valuation and Technical analysis provides a framework for comparing research across fixed income sectors and allows for the global integration of investment ideas.




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