This week's Conjecture panel debates whether current yields are bringing enough reward for the risks take and what issues managers in the sectors are currently facing
Investors' risk appetite has continued to improve in recent months as the major developed economies seem to be emerging from recession and signs of a stabilisation in global economic activity increase.
The current backdrop for fixed income markets looks particularly supportive and favours further yield compression and outperformance by corporate and emerging market bonds.
Markets are rebounding strongly after the indiscriminate drop of last year.
Despite a benign inflationary outlook there are still compelling yields to be found in the corporate bond market
There has been a lot of interest in corporate bond funds this year as investors have sought to make their cash work harder against a backdrop of low policy rates.
Corporate bond funds remain a firm favourite with investors, latest figures from the Investment Management Association (IMA) show.
Both government and short-dated corporate bond yields have hit new lows against a backdrop of rising equity markets.
The year of the corporate bond fund has been a tug of war between duration risk and systemic risk
iShares is offering fixed income ex-financials funds in its latest range of nine ETFs to be launched on the London Stock Exchange on Monday.