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Active Fixed Income outlook: Time to challenge consensus?

L&G

For more than a year, there has been continuous debate among fixed income investors on the relative importance of spreads or yields to the health of our asset class. We think this debate has been answered by the continued inflows into fixed income (at the time of writing, for the past 59 weeks into US investment grade). In our view, these flows have been driven by the yields on offer, which has in turn lead to spreads compressing to multi-decade tights.

L&G

Monday 3rd February 2025

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