In this paper, we assess the potential risks associated with such a strategy by stressing capital requirements using spread-implied ratings.
Markets, economy, stocks, growth, global, fixed income, international, asset classes
What are the bright spots in fixed income?
Michael Cembalest discusses the aches and pains constraining growth around the world, the severity of these ailments, and the degree of contagion from emerging to developed economies.
Scott McKee, Emerging Markets Corporate Bond portfolio manager, explores the opportunity set in corporate EMD
We cut the chances of recession to 25% after a thaw in the trade war and a year of rate cuts; our forecast is for sub trend growth. Favored sectors include emerging market local currency debt and higher rated short-duration securitized credit.
What investors should consider
Bond yields remain at or near historic lows around the world, leading to a substantial increase in the value of pension plan liabilities.
David Kelly, the Fed, interest rates
Measuring book yield correctly