How Multi-Asset Managers Navigate Low Rate World

With many bonds offering negative yields fund managers have abandoned Eurozone bonds and are delving into credit, particularly in emerging markets

Ceri Jones 19 September, 2019 | 1:57PM

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Nearly 30% of the world’s bonds ($16 trillion) are offering a negative yield and recent movements in parts of the fixed income markets have been highly volatile. German investors are now putting cash in secure warehouses, while Danish bank Jyske announced this month it would lend to homebuyers at an interest rate of -0.5%.

In theory, multi-asset fund managers should be able to navigate this challenging backdrop. These funds have the freedom to invest across all types of assets including equities and bonds, property and cash. 

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Ceri Jones  Ceri Jones is a freelance journalist

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