Sentences with phrase «credit over government bonds»

Against this backdrop, we broadly prefer equities over fixed income, and selected credit over government bonds.

Fixed income has a role in portfolios and we like credit over government bonds, but we generally prefer equities over bonds in a low - return world.

A reflationary outlook also underpins our preference for U.S. credit over government bonds.

Not exact matches

We prefer selected subordinated financial debt within European credit and favor high - quality U.S. credit and emerging market debt over government bonds, but credit valuations are elevated across the board.

Such tight spreads mean that even a small selloff can wipe out credit's extra income over government bonds.

We prefer selected subordinated financial debt within European credit and favor high - quality U.S. credit and emerging market debt over government bonds, but credit valuations are elevated across the board.

What's more, GICs pay higher yields than government bonds: today you can build a five - year ladder with an average yield over 2 %, with no credit risk and no chance of a capital loss.

We prefer European equities over government bonds and credit amid a sustained, above - trend economic expansion and a steady earnings outlook.

To be sure, asset classes such as bank loans, high - yield bonds, and emerging market debt require the investor to bear credit risk, but the yield spread over the comparable - maturity government bond provides compensation for this risk.

For example, the average annualized asset - weighted returns for investment - grade long - term bond funds were 3 percent versus 5.7 percent for the Barclays Capital U.S. Long Government / Credit Index over five years.