What are the challenges for bond investors as the hunt for yield pushes them into riskier areas?

Bond investors are facing many challenges when it comes to dealing with low yields in traditional fixed income sectors. David Katimbo-Mugwanya, portfolio manager of the EdenTree Amity Sterling Bond fund tells Investment Week that global bond yields have plummeted because of QE purchases by central banks in an attempt to stimulate economic growth. He also mentions that bond durations have increased following a decline in yields.

Link

top