Mark Dowding, BlueBay Chief Investment Officer and leading experts from across the investment teams, look at the economic influences that are shaping markets and discuss the opportunities that we think may deliver alpha in 2025.
2025 Market View: Fixed income
- Economic, political and geopolitical uncertainty can continue to drive volatility across fixed income markets. Skilled investors should have ample opportunity to generate active performance.
- US interest rates are seen staying higher for longer under a Trump Administration. This may be problematic for assets classes such as Private Debt, where balance sheet leverage is the most elevated.
- IG credit may deliver further outperformance against a backdrop of oversupply of government bonds. This is a factor also causing yield curves to steepen.
- We see opportunities in Euro financials and also in more illiquid credit in special situations in European markets.