There is every likelihood bond yields will eventually trend higher and revert to our estimate of fair value, but we cannot predict (nor can anyone) the path or timing.
The danger here is trying to time the market by exiting bonds in an attempt to re-enter when interest rates normalise. Additionally, even with a muted return outlook, we think bonds play a valuable role...
Songs from writers Johntá Austin, Sean Garrett and Rico Love
Analysts in bullish mood
Uncertainty has resulted in 2% less growth
Expected to complete in Q2