295. Recession, rates and rebalancing – predicting the fixed income landscape in 2024

Fixed income yields are at a “once in a generation opportunity” according to Alex Pelteshki, co-manager of Aegon Strategic Bond. Alex provides us with a comprehensive overview on the peaking of rates and yields, emphasising the impact of already tight monetary policies across major markets. Alex also highlights the fund's flexible approach, focusing on opportunities in government bonds and the high yield market. The interview concludes with the question of recession in 2024, offering a nuanced perspective on the economic conditions in Europe and the UK and how the fund is positioned as a response. 

What’s covered in this episode: 

• Have interest rates peaked?
• Will rates fall in 2024 — considering UK, US and Europe
• Are government bonds still offering value? 
• Which part of the market is particularly interesting
• The area of the market offering once in a generation opportunities
• The attractive of investment grade bonds
• Why a quarter of the portfolio is in high yield bonds
• Should investors prefer short or longer-dated bonds?
• Are we facing a recession in 2024?

More about the fund:

Aegon Strategic Bond fund has a very broad and flexible remit. It invests globally and is a true strategic bond fund that can change its positioning very quickly when necessary. The managers combine longer-term strategic positions with short-term ideas.

Learn more on fundcalibre.com

Please remember, we’ve been discussing individual companies to bring investing to life for you. It’s not a recommendation to buy or sell. The fund may or may not still hold these companies at the time of listening. Elite Ratings are based on FundCalibre’s research methodology and are the opinion of FundCalibre’s research team only.