AMP Capital’s September Global Fixed Income Forum featured insights on the role of fixed income in a world of zero yields.
As unconventional monetary policy has continued to push the boundaries of what can be considered normal, bond yields have shifted – from low, to zero, to negative – in some of the largest economies in the world. Over the past few years, we have explored various themes to explain the fall in yields and moreover, determine where yields may sit in the future.
Hear Ilan Dekell, Head of Macro Markets, Global Fixed Income cover some of the key highlights from our analysis and what this means for investing.
Our insights cover:
- Lower bond yields: what does it really mean?
- 3 theories on why bond yields are so low
- Policy options and limits
- Pre-inflation versus post-inflation targeting
- Correlations in a constrained nominal world
- Impact of correlations on total portfolio volatility
- Defensive factors: duration and income
- Regimes for the future: allocation framework for Balanced Funds