Should fixed income investors start moving higher up the yield spectrum and further down the credit quality ladder, given the paucity of returns in the current environment?
As with all risky ventures, it is a balancing act that takes considerable control and discipline rather than a headlong plunge in the hunt for income-generating assets. So, how do fund selectors keep their footing and not falter in these precarious times?
It takes guts to step out of your comfort zone but there are compelling reasons for doing so. Our lively exchange in Munich certainly showed how fund selectors and managers alike are being kept on their toes as they hunt out new ideas.