Covid-19 winners and losers: Don't throw the baby out with the bath water

Which sectors have thrived - and which nosedived?

clock
Andreas Nagstrup of Vanguard Asset Management
Image:

Andreas Nagstrup of Vanguard Asset Management

Covid-19 shock has created winners and losers in the credit world. How can credit investors benefit from this dispersion? Andreas Nagstrup, credit analyst at Vanguard Asset Management, is on the case.

The rebound in the credit markets from the coronavirus-induced sell-off early this year has been as uneven as it has been remarkable. While most companies' earnings, and by extension their creditworthiness, took a hit from lockdowns intended to contain the pandemic, some companies held up better than others. Successful companies generally were those that had been in sounder financial positions to begin with, were better able to adapt their operations to serve new customer needs or could cut costs in the face of reduced activity.  A tough first half for earnings Global earnings dro...

To continue reading this article...

Join Investment Week

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Global

Industry Voice: PIMCO Secular Outlook

Industry Voice: PIMCO Secular Outlook

Reaching for Resilience

PIMCO
clock 28 June 2022 • 2 min read
Market Movers Blog: S&P 500 slides into bear market

Market Movers Blog: SEC chair Gensler terms bitcoin a commodity

Latest news and analysis

Investment Week
clock 27 June 2022 • 1 min read
David Kimberley is an investment trusts writer at Kepler & Partners

Opportunity amid madness: Valuations more attractive in wake of panic-driven price drops

Buy opportunities have arisen

David Kimberley
clock 21 June 2022 • 4 min read
Trustpilot