How is take up of asset-backed securities enhancing bond portfolios?

Boost to yield and liquidity

clock • 2 min read

The use of 'structured' investments within discretionary portfolios and funds has increased markedly over the last five years, writes IDAD's Clive Moore.

The use of 'structured' investments within discretionary portfolios and funds has increased markedly over the last five years as investment managers seek returns in difficult market conditions. One area where the use of structured investments has been lower is the corporate bond sector, although the take up of asset-backed securities (ABS) has increased over the last few years to counteract poor returns from the traditional asset class in a low interest rate environment. Why asset backed securities could dominate 2015 The reason for this may be in the Investment Association's sector...

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