Wealth Strategies: Schroders likes bank bonds, U.S. stocks
Thursday, May 09, 2013 - 01:58
May 10 - Stock and bond fund managers at Schroders discuss where they're finding the best investment opportunities and the areas they are avoiding.
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Schroeder is the global firm with 359. Billion dollars of assets under management brought together their top investment managers here in New York so I asked them. What is your best investment idea. Yes well -- high yield one area we're focused on is calling in the curve and investing and we'll season bonds with maturities magnitude of four year duration area. Because. The market has rallied quite significantly and recent new issues are at high dollar premium. We find value in some in the short duration bonds that would hold him well should there be corruption in the coming months. We have to keep themes among the first who flew right -- -- near his growth from -- to US the moment thinks people we things and pick up. The second thing is looking for areas whose -- away. Central Bank policy fiscal policies are supporters of examples of devaluation of the yen took a subject he's actually settings being weak if you can actually. Right now and high grade bond market the area of emphasis is the corporate bond market. I'm within corporates as the bank and finance sector we think bank and finance bonds represent the best value. And fundamental credit quality has improved very very dramatically since the credit crisis and what are you avoiding. Right now the US government -- I think with bond yields government bond yields as low as they are. We think there's a lot better alternatives and some of the other sectors of the bond market for the moment. According European risk be approved -- turning your commitment tactically recently wrote when lawsuit. For the moment for raunchy reason politics like on the economic side. What in her mind a lot of the areas that were avoiding it are the more highly levered el -- From the 20062007. And did some of which school. Must definitely be missed restructuring within the next year. And there's just something to -- leverage capital structures -- individual credits that are typically triples theory that report.
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