Credit Emerges as Attractive Source of Returns - Pictet Asset Management Insights



Discover insights from Pictet Asset Management on the fixed income outlook, including the appeal of credit for risk-adjusted returns and strategic approaches to navigate market volatility.

Pictet Asset Management, a division of Swiss private bank Pictet, recently held a media roundtable to discuss the current outlook for fixed income investments. Jon Mawby, co-head of absolute and total return credit at Pictet Asset Management, highlighted that credit has become an attractive source of risk-adjusted returns. Mawby emphasized the importance of a contrarian and value-driven approach in navigating the volatility of government bond and credit markets. He stressed the need for strategic thinking to create a credit portfolio with lower correlation to risk assets, allowing investors to capitalize on market fluctuations.


Credit Emerges as Attractive Source of Returns - Pictet Asset Management Insights

Mawby also shared his views on the monetary policies of central banks, suggesting that the US Federal Reserve and the Bank of England should consider cutting interest rates to stimulate growth ahead of upcoming elections. UBS Global Wealth Management echoed concerns about the likelihood of higher US rates persisting, despite recent data showing subdued producer prices. The firm remains optimistic about the outlook for quality bonds and equities, citing strong inflation and labor market indicators.

In terms of investment opportunities, Pictet Asset Management offers the Luxembourg-domiciled Pictet-Strategic Credit fund, which provides exposure to various bond categories, including corporate, government, and convertible bonds. The fund invests globally, including in emerging markets and mainland China, across different sectors and credit qualities. Mary-Therese Barton, chief investment officer of fixed income at Pictet AM, highlighted the firm's expansion into Asia with the launch of the Pictet-China Environmental Opportunities fund. This fund focuses on investing in Chinese companies involved in environmental solutions, aiming for capital growth in sectors such as renewable energy, green transport, and industrial decarbonization.

Despite the potential in emerging markets, Barton noted that developed markets continue to dominate due to macroeconomic and geopolitical uncertainties. She emphasized the long-term potential of emerging markets, suggesting that they could offer compelling investment opportunities in the future.

The discussions at the Pictet Asset Management roundtable underscored the importance of a strategic and value-driven approach in navigating the current fixed income landscape. With a focus on credit opportunities and global market dynamics, investors can position themselves to capitalize on market volatility and emerging trends.

Credit Emerges as Attractive Source of Returns - Pictet Asset Management Insights

Support Ogusyis by making a contribution – no matter how small.


Enter your amount
£
Enter your amount
£
Enter your amount
£
Yourname
Email
Phone


Swiss Fintech Safeguards Funds from Currency Depreciation

Explore how nsave, a Swiss fintech company, is aiding individuals from fragile economies in protecting their money through secure offshore accounts.

Explore how nsave, a Swiss fintech company, is aiding individuals from fragile economies in protecting their money through secure offshore accounts.

Read more

How to Use Debt to Build Wealth: A Strategic Guide

Learn how to use debt to build wealth wisely and achieve financial goals. Understand the difference between good and bad debt for long-term success.

Learn how to use debt to build wealth wisely and achieve financial goals. Understand the difference between good and bad debt for long-term success.

Read more

Janus Henderson acquires European ETF provider Tabula IM

Janus Henderson announces acquisition of European ETF provider Tabula IM, expanding their investment offerings in the region.

Janus Henderson announces acquisition of European ETF provider Tabula IM, expanding their investment offerings in the region.

Read more

Julius Baer completes sale of Italian asset manager Kairos Partners to Anima Holding

Julius Baer completes the sale of Italian asset manager Kairos Partners to Anima Holding, marking a significant transaction in the financial industry.

Julius Baer completes the sale of Italian asset manager Kairos Partners to Anima Holding, marking a significant transaction in the financial industry.

Read more

What are The Richest People Investing in 2024?

Discover what are the richest people investing in 2024. A total of $483 billion is waiting to be invested. Find out where the smart money is going.

Discover what are the richest people investing in 2024. A total of $483 billion is waiting to be invested. Find out where the smart money is going.

Read more

iCapital Expands Access to Alternative Investments in Asia - Unlocking Opportunities

Learn how iCapital is expanding access to alternative investments in Asia, leading the way for wealth managers to explore new opportunities in previously hard-to-enter markets.

Learn how iCapital is expanding access to alternative investments in Asia, leading the way for wealth managers to explore new opportunities in previously hard-to-enter markets.

Read more

The Rise of ‘Passport Portfolios’ Among the Wealthy: A Look at Second Citizenship Trends

Explore the growing trend of wealthy individuals building 'passport portfolios' with multiple citizenships in case they need to flee their home country. Learn about top destinations and high-profile examples.

Explore the growing trend of wealthy individuals building \'passport portfolios\' with multiple citizenships in case they need to flee their home country. Learn about top destinations and high-profile examples.

Read more

The Impact of Pension Funds' Investments in Affordable Multi-Family Housing

Discover the findings of the Federal Reserve Bank of New York's study on pension funds' investments in multi-family housing and their long-term affordability focus.

Discover the findings of the Federal Reserve Bank of New York\'s study on pension funds\' investments in multi-family housing and their long-term affordability focus.

Read more

Survey Reveals Strong Interest in European Markets Among US and UK Fund Managers

Discover the latest findings from a survey by Carne Group showing a near-consensus among fund managers to raise capital abroad in 2024.

Discover the latest findings from a survey by Carne Group showing a near-consensus among fund managers to raise capital abroad in 2024.

Read more

Copyright © Ogusyis. All rights reserved. The Content may not be copied, distributed,  republished, uploaded, posted or transmitted in any way without the prior written consent of Ogusyis.