Bond managers have been slashing exposure to contingent convertible debt - a key source of alpha for fixed income funds in recent months - as yields begin to fall and an avalanche of issuance appears on the horizon.
Banks have been rushing to issue contingent convertible debt (CoCos) in an effort to meet incoming Basel III capital requirements, but managers are now becoming more cautious on the bonds. John Pattullo...
Latest edition of the print magazine online
Four-part Big Question special
Focus on UK equities
Trading at $80.1 a barrel
Latest news and analysis