M&G's Lord: Inflation and what it means for bond investors

The prospect of higher inflation has become a key area of focus for investors in recent months. At least in the short-term, UK inflation looks set to move higher due to base effects and rising commodity prices. While longer-term inflationary pressures will probably build more slowly, I think the scale of the monetary and fiscal stimulus measures, coupled with a closing of the output gap, could have a powerful cumulative impact over time. Industry reacts: IA Global Bonds sector now split into 14 new segments When positioning our portfolios it is important to consider all the factors th...