Fixed income is a key part of any balanced portfolio aiming to reduce volatility in the overall portfolio while still contributing to total return. Listen to Geoff speak about what could pose a challenge to investors in the upcoming year. In this interview, he explains the mechanics of the core plus fixed income component and how it provides downside protection during rising yields.
In recent months there has been a shift from value investing to growth investing due to an artificially low interest rate environment. Mel cautions that while we cannot predict the future, value tends to outperform in the long term. He also discusses the volume of information that investors have access to through traditional and new media and explains Sionna’s approach to reducing the noise.
In our interview with Peter this quarter, he reminds investors that possible short term noise surrounding upcoming interest rate rises should not overshadow a muted long term impact on dividend paying stocks.
Despite the slow-growing economy and a flattening yield curve, Tim notes that a potential North American recession is not coming. The Fed is concerned about inflation levels, he adds, and their gradual and cautious pace of interest rate increases may lead to some “bubbly” areas within the market.