Henderson's Pattullo expects credit markets to rally

John Pattullo, manager of the Henderson Preference & Bond and Strategic Bond funds, believes credit...

John Pattullo, manager of the Henderson Preference & Bond and Strategic Bond funds, believes credit markets have finally hit the bottom. He said sentiment appears to have now been flushed out of the system and new bonds that have recently come to the market are performing reasonably well. The manager who is still backing the banking sector debt citing valuations remain cheap on any risk-adjusted basis said forced sellers such as private equity and hedge funds that were putting a damper on sentiment has now eased. He suggests JP Morgan’s acquisition of Bearn Stearns will offer some degree...