High-yield bond market looking attractive

markets forum

rising interest rates and an increase in m&A activity suggest asset class is well positioned, according to head of credit at isis james foster

The past few years have witnessed a spectacular bull market in corporate bonds. First investment grade led the way, providing a valuable safe haven from the volatility of the financial markets. More recently the high yield market has recovered strongly. But now investors have to consider whether there is more to go for in the bond market, and if so, where? James Foster, head of credit at Isis Asset Management, believes there is still money to be made in bonds but investors will need to be very vigilant for signs of when to switch sectors. He said: "Last year, gilts at 2% return were a ...