Tapping into Booming Credit Sectors: Key Strategies for Fixed Income

Capital Group
By September 19, 2023 10:59

Tapping into Booming Credit Sectors: Key Strategies for Fixed Income

Essay on Unlocking Income Opportunities
The main theme of the text emphasizes the burgeoning income opportunities in the fixed income sector, especially amidst the prevailing market volatility and uncertain economic environment. Elevated bond yields offer potential for higher income, acting as a buffer against this volatility. However, as the global rate cycles approach their zenith, we're possibly witnessing a pivotal moment for fixed income. Mentioned by Damien McCann and Flavio Carpenzano, the "Unlock income opportunities across key credit sectors" report underscores the value of diversification in the quest for yield.

Exploring Fresh Credit Market Opportunities
Delving further, credit markets are now opening doors to fresh opportunities across various sectors. With starting yields ranging between 5.5% and 8.5%, there is a strong foundation for positive returns in the long run. It's worth noting that starting yields tend to mirror the longer-term total returns investors might expect from bonds, often with less volatility compared to equities. For those aiming for stable and appealing income, broad diversification, rather than focusing on a single sector, is recommended. This is particularly crucial in today's context where even high-caliber bonds, such as investment-grade corporate bonds or securitised credit, are yielding favorably.

For a deeper understanding and comprehensive insights on how to tap into these promising income opportunities, don't miss out. Click "Read report" and gear up for a profitable future in fixed income investing!

Asset Manager

Capital Group is one of the largest and most experienced investment management companies in the world

Capital Group is in 1931 opgericht in de Verenigde Staten en een van de grootste onafhankelijke vermogensbeheerders ter wereld met een actief beheerd vermogen van meer dan $2,1 biljoen. We doen alleen vermogensbeheer. Al 90 jaar is het ons primaire doel om een consistent en superieur resultaat te realiseren voor langetermijnbeleggers.


Feike Goudsmit
Managing Director, Institutional
Tel: +31 (0) 20 797 7575
E-mail: feike.goudsmit@capitalgroup.com

LinkedIn: capital-group-europe

Capital Group
By September 19, 2023 10:59