Corporate bonds continue to perform

0Sterling corporate bonds were the top-performing asset class last year, beating cash, gilts and equ...

0Sterling corporate bonds were the top-performing asset class last year, beating cash, gilts and equities. So far this year, bond markets have been challenged by growing evidence of the global economic recovery and the prospect of higher interest rates. First-quarter growth in the US economy rebounded to 5.8% from 1.7% in the fourth quarter of 2001 and markets are now braced for interest rate hikes over coming months. Yet sterling corporate bonds have remained a solid performer, having continued to benefit from a wave of institutional demand which continues to outstrip supply. Just...