Federal Reserve

The changing rules of global monetary policy

With the era of US quantitative easing now drawn to a close, Investment Week spoke to five wealth managers about the possible consequences - and the likelihood of the taps being turned back on.

The US Federal Reserve has concluded the tapering of its multi-year bond buying programme and begun turning its attention to a future interest rate hike.

Leading fund managers have become more cautious about their expectations for interest rate hikes, with many now expecting any movement in base rates to be postponed until at least 2016.

The golden age of exceptionally low bond volatility is drawing to a close, and investors would be wise to lock in any handsome profits before monetary policy shifts, explains Lombard Odier's Grant Peterkin.

The single biggest challenge facing markets is normalisation of monetary policy, but although central banks are urging caution, markets are ignoring the warnings, argues Jupiter's Miles Geldard.

Super-size me: The risk of going too big in bonds

Constructive on credit – for now

Fund managers are urging caution following a dramatic week for investors, saying the traditional strategy of buying on market falls may no longer make sense.

The six-year bull market in the US is still viewed with "deep suspicion", despite the wave of supportive factors, says AXA's Dan Harlow.