Supported by Asia’s structural growth story, fixed income assets – including Hong Kong dollar (HKD) bonds – offer investors a potential route to resilient and diversified returns despite the blurry global outlook, according to HSBC Asset Management (HSBC AM).
Tag : credit
Rising yields create an attractive environment for big fixed income allocators such as life insurance companies, but portfolio repositioning is a double-edged sword — especially if one is carrying unrealised losses from last year’s market downturn.
Thanks to the current rise in yields, the key return driver of the bond market is set to change but its bull run will very likely continue.
The Covid-19 pandemic has brought investing opportunities in credit markets amid turbulence, said CIOs from AIA, Prudential Asia and Ping An at an AsianInvestor event.
The number of lenders reducing their Asian exposure is seen to be growing fast amid the coronavirus crisis, leaving asset managers keen to fill the financing gap.
The US state's biggest retirement fund has nearly trebled its target allocation to private credit and is adding private equity and real assets too. It is also eyeing other ways to boost returns.
Regional life insurers will seek to reweigh their portfolios to seek out sufficient returns in the low rate environment, reduce duration gaps and adapt to new capital rules.
Asian investors found fixed income appealing in the second quarter, but selective equity allocation might be a better bet for the rest of the year, say active investing experts.
The CIO of Swiss insurer Zurich and CEO of Swedish pension fund Alecta flag their growing corporate debt concerns and outline their response strategies.
Very few asset owners in Asia adopt environmental, social and governance principles in their fixed income portfolios. Credit rating agencies could play a key role in changing that.
Fears are rife over the potential impact of widespread downgrades of investment-grade corporate bonds on insurance portfolios.
Fitch Ratings will use a new system to study ESG factors for credit ratings, while Moody's warns environmental risks may cause $2.2 trillion of debt downgrades across 11 sectors.