Capital Group’s Manusha Samaraweera says public market fixed income is offering a more compelling mix of income, resilience and diversification than many investors appreciate, even in a noisy macro environment.
With rates well and truly crested and bonds once again showing their strength as a defensive ballast mechanism, Capital Group believes the time might be right for investors to swap out cash-like investment vehicles for investment grade credit.
In the AI-fueled rally, some companies will win and others will disappear. But while some parts of the market look hideously expensive, their long-term prospects might justify their valuations.
Duration is no longer a dirty word. Private debt is a house of cards. Welcome to the new era of fixed income.
