Navigate rate rises, seek a steadier yield
Interest rates across the world are anticipated to rise over the next couple of years and market volatility is set to increase as central banks begin tightening monetary policy. In this uncertain climate, duration can be an extremely useful tool to help manage portfolios. Bond managers can use duration to compare the risk sensitivity and potential price volatility of bonds with differing yields, prices, coupons and maturities, adjusting duration depending on the market environment.
At AXA Investment Managers we believe that having an allocation to short duration could help investors navigate uneven markets and potentially deliver steadier yield. Our team has over 15 years’ experience managing short duration, across a range of global strategies from investment grade to high yield bonds.
Our short duration strategies generally invest in bonds with maturities of five years or less and seek to capture high current income with low overall volatility, aiming to help investors meet their investment needs.
Our experts views
Read our experts views on fixed income investing and the search for yield as they examine the ever-changing investment world.
Our strategies cover investment grade, high yield and inflation across Europe, the USA, Asia and emerging markets, helping you find the yield you’re searching for.
Read insights from Chris Iggo, CIO fixed income, as he provides his view on the bond market and the impact this could have on investors.
What’s concerning bond investors? Three risks in three minutes
Returns from global fixed income markets have continued to be disappointing in 2018, and as a result bond investors are focused on a number of risks that could increase volatility in the bond market. In this video Chris Iggo discusses three key risks he believes bond investors should be watching - US interest rates, escalating trade wars and the European political scene.
Yield is tough to find at the best of times and these are not the best of times. Today, investors must navigate low growth, rising interest rates, tightening monetary policy and increasing volatility in the search for sustainable yield.
Discover our experts’ insights on how to tackle the search for yield, the latest short duration news, the impact this changing environment could have your portfolio and how AXA Investment Managers could help you navigate uncertain markets.
01 September 2018
Credit and inflation breakevens: what are these metrics and why should investors care?
Understanding breakevens, both the inflation and the credit breakeven could be crucial to mitigating risk.
18 May 2018
Market volatility delivers renewed value in bond markets
Volatility has dominated markets for much of 2018, with the VIX, or so-called fear index, spiking in February1 following a subdued 2017.
01 May 2018
What the rising dollar means for bond investors
For the income hungry, US bonds might currently look like a very attractive proposition, with yields hovering around the 3% mark.
11 January 2019
Don't worry about rates
Volatility spiked in December but risk has rebounded in January. The Federal Reserve has found a new settlement with the markets.
14 December 2018
We look forward to not everything having a negative return in 2019.
08 January 2016
Iggo's Insight - Happy New Year - or is it?
From sun and sea to doom and gloom. What a welcome back from my winter break. The big picture trends continue – the glacial normalisation of monetary policy in the US and the ongoing adjustmen ...