Why now is a good time for Strategic Bond funds

ON BONDS

Artemis' James Foster says having the ability to invest in any form of bond anywhere in the world is vital because managing bond funds will be tough going forward

In these testing times, we are glad to be managing a strategic fund with the ability to invest anywhere in the world and in any form of bond. We feel we are moving into a period where interest rates are likely to be increasing. This makes managing a bond fund slightly tougher: to protect capital we need all the tools available to us. But we remain confident we can continue to generate some healthy returns. Financial bonds still merit attention – there are many appealing areas. Firstly, existing subordinated bank bonds do not fit the criteria of compulsory conversion to equity, so bank...