A new paradigm in fixed income

The world has changed and investors need to rethink fixed income investing.

There are three main challenges facing investors:

1. Widespread low or negative yields in key developed markets outside the US
2. Increased market risk associated with, among other factors, longer duration in portfolios
3. Fractured liquidity – unconventional central bank policies and tighter regulation has led to a lack of liquidity across fixed income markets.

Salman Ahmed, Chief Investment Strategist, explains why a change in thinking is required