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Focusing on the evidence: 360°, Q4 2021

What is our current view of fixed income markets? And where do we see the best relative value? In our latest edition of 360°, Andrew 'Jacko' Jackson and his team of specialist investors consider the areas that have the potential to deliver superior risk-adjusted returns.

Much has been written about structured credit over the past two decades. In particular, several excellent books were written (and movies made) about its role in the global financial crisis. It's important to remember, though, that no matter how good Christian Bale's acting is, most of us don't really believe Batman fights crime in Gotham City. Nor should we believe that everything we've seen or read about structured credit is an accurate depiction of what happened - much less that it should it be applied to the whole asset class.

Our view remains that structured credit benefits from its rather unloved status, that much of the antipathy towards it is unwarranted and that allocating capital to it rewards hard work and rigorous analysis. With that in mind, we have devoted a more significant part of this 360 to this asset class.

Spotlight on structured credit: issues in focus this quarter

In this issue of 360°, we also take a closer look at:

  • Fundamentals: supply chain disruption is acting as a drag on earnings recovery for corporates
  • Valuations and technical: the risk of EU issuance in Europe and emerging markets
  • Sustainable fixed income: why financial inclusion is an economic opportunity for all

Read the full report for a more comprehensive picture.

Archive: previous editions of 360°

As fixed income markets have moved through the economic cycle, our thinking has also developed – take a look at some of our previous reports to see how the investment landscape has changed over the past year.

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