Investment Conundrums: Beaufort Investment backs active fixed income managers to outperform

CIO Shane Balkham buoyed by opportunities in Japan

Active managers are well placed to outperform in fixed income markets, which have seen unprecedented moves amid a wave of debt issuance from corporates and sovereigns globally in response to the coronavirus pandemic since the beginning of the year, according to CIO of Beaufort Investment Shane Balkham.

As result of the opportunity on offer, the firm has been topping up its allocation to a number of active fixed income funds. The coronavirus pandemic has forced governments and businesses across the world to borrow trillions of dollars to counteract the impact of lockdown restrictions. The fallout has seen government bond yields reach all-time lows, while ratings agencies have hit a number of emerging market sovereigns and corporates with credit ratings downgrades amid rising concerns of default risk. GMO slashes equity exposure amid 'out of step' market movements Balkham told I...