Henderson's Pattullo: Bond investors will not sell until they see losses

Henderson's top performing bond fund manager John Pattullo has said the popularity of bond funds will not start to wane until investors see some hefty losses from portfolios.

After a stellar run over the last three years - during which time investors have switched en-masse into bonds - many investors are now betting a sell-off in bonds could be on the horizon. Already gilt yields have moved off record lows, as have yields on other safe havens like US treasuries, as investors take profits from what has been a very successful trade. However, Pattullo (pictured) - running the £1.1bn Henderson Strategic Bond fund alongside co-manager Jenna Barnard - said predictions of a huge switch back into equities will remain wide of the mark until investors start to lose ...