Glass: How I am positioning my strat bond fund for 2012

City Financial's Graham Glass explains where value can be found in fixed income markets in 2012.

With government bond yields currently trading at all-time lows, the risk/reward for holding a significant proportion of this asset class within a portfolio does not feel justifiable. Credit markets, on the other hand, are pricing in an economic downturn of greater proportions than we have ever seen in 100 years. There is little doubt an experienced global fixed income manager who has a flexible mandate that includes credit, could provide investors with a shelter for their low risk assets.  Of course, positive performance can never be guaranteed, but the dual strategy of reducing inter...