Terry Smith is a Novice, says Janus Henderson's Bennett

Investors have been warned they could suffer significant losses, as the majority of fund managers have no experience of a bear market

David Brenchley 21 March, 2018 | 1:31PM

Investors have been issued a warning about fund manager experience

Investors have been warned they could suffer significant losses as markets shift, as the majority of fund managers have no experience of a rising rate environment. Nomura’s Dickie Hodges says that investors will have to re-think their fixed income allocation as bond markets shift and “star” managers fall from grace, while Janus Henderson’s John Bennett warns many equity fund managers only know a rising stock market.

Over the past 30 years we have seen a significant rally across bond markets, with both interest rates and yields falling to record low levels. As a result, generating positive returns from bonds has not been difficult.

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About Author

David Brenchley

David Brenchley  is a Reporter for Morningstar.co.uk

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