The gating of Neil Woodford’s flagship Equity Income fund in early June has alarmed investors. However, Woodford invested the fund in small and unquoted stocks that are difficult to sell quickly, listing some stakes in unquoted companies in Guernsey simply to circumvent the regulator’s rule that caps at 10% of net asset value (NAV) the proportion of unlisted securities an open-ended fund with daily dealing can hold.
Liontrust Strategic Bond (growth)
TR 1 year n/a, 3 years n/a, yield 2.2%
For an area that is supposed to be the stable asset, ballast for a portfolio, fixed income has looked pretty rocky in 2018. Ten-year gilt yields have been as low as 1.15% and as high as 1.7%. The corporate bond market has bounced around with increasing unpredictability. If investors needed reminding that this is a new environment for bonds after a lengthy bull run, the past 12 months have provided ample proof.
Cherry Reynard assesses the outlook for UK and global bonds against the backdrop of a more challenging year ahead.
Fixed income continues to receive substantial inflows – but is this a sign that things are about to go sour?
A trust investing in residential mortgages launched on Tuesday following a vastly oversubscribed initial offer period.
Fixed income was the bestselling asset class in April, the first time since August 2012; equities shed almost £100m as investors flee to safety.
Valuations on some global asset classes look distinctly frothy. Others don't. Here we identify which bubble is likely to burst first, and when.
We ask five investment experts to review what has been a particularly unpredicatable and momentus year.
The experts that comprise our multi-manager panel are bearish on fixed-income, with two encouraging investors to avoid high-yield bonds.