Fixed Income and Treasury - Articles & White Papers

In recent years, green bond issuance has risen rapidly around the world. But so too has the scrutiny of managers' capital allocation strategies by asset owners. In this new paper, fixed income portfolio managers from Nuveen explain more about the firm's impact bond investing framework. They also highlight important best…

This year’s report examines three significant power dynamics. Firstly, the government’s fiscal policies present a challenge to central banks, altering the balance between inflation and economic growth. Secondly, the dominance of capital as a production factor is being challenged by labor, driven by reshoring and climate…

We review the evolution of the repo market, and outline how a peer-to-peer repo model could be beneficial in EMEA.

From voice based to portfolio trading and electronic venues, each method of buying and selling credit has competed fiercely for market share. 2021 was the year of portfolio trading; 2022 was the year of electronic trading. Interestingly and perhaps intuitively, though, some of the biggest jumps in electronic trading have…

See the latest insights from experts at MFS Investment Management.

For more than 20 years, the negative correlation between equites and bonds was taken for granted, making these two asset classes the main ingredients of balanced, well-diversified portfolios.

In this paper, we examine the impacts of a rising interest rate environment on natural capital investments: U.S. timberland and U.S. farmland.

Over the last 25 years, the EM investable universe has grown in breadth and depth to become one of the most intricate in the entire fixed income space.

Although not without risk, Rate Reduction Bonds are high-quality bonds that offer a range of duration profiles and a notable yield advantage over other similarly rated securities.

R-star is the real interest rate that is neither expansionary nor contractionary when the economy is at full employment. If the central bank sets its policy rate below R-star, then its monetary policy position is accommodative. The Fed currently believes R-star is about 0.5%, which is significantly lower than the Fed’s…

If there is one certainty for pensions, it is that monthly benefit obligations will continue for the life of the plan regardless of what is happening in the markets. Yet on the spectrum of LDI risks, liquidity is often less of a focus than duration matching or funding ratio volatility. Today, the liquidity challenge is…

Having a credit tilt in the bond portion of a portfolio can enhance long-term returns.

According to our latest Global Private Markets Review, private markets faced a year of two halves in 2022, with buoyancy in the first half and plummeting deal volumes, declining performance, and falling valuations in the second.

The Emerging Market Green Bonds Report reviews key green, social, sustainability, and sustainability-linked bond market trends in 2022.

New research from Vanguard’s investment strategy and fixed income teams examines how the proliferation of a diverse coupon stack in the municipal bond market and, later, the Federal Reserve’s aggressive rate hikes put negative convexity front and center in active muni investing.

The place to start a discussion of risk-free rates is by answering the question of what you need for an investment to be risk-free, following up by seeing why that risk-free rate plays a central role in corporate finance and investing and then looking at the determinants of that risk-free rate.

Imagine an economy plagued by persistent inflation and a Federal Reserve determined to fight it with aggressive, equally persistent interest rate hikes. While this might sound similar to what investors have recently been experiencing, it also describes 1973.

Emerging markets’ (EM) recent aggressive rate hiking cycle had caused us to be cautious about prospects for 2023 growth, especially in Latin America. However, we’ve been surprised by the generally robust economic performance in EMs around the globe.

A quarterly publication covering macro and market insights from the fixed income team at Capital Group.

A quarterly publication covering macro and market insights from the fixed income team at Capital Group.