Fixed incomeBonds are perceived as being lower risk – but fixed income strategies need specialist knowledge to shine
Spread your risk
From low-risk government bonds to more growth-oriented strategies, you can spread your risk while aiming to capture more dependable income or returns
A choice of strategies
Bonds can help avoid stock market volatility but come with their own risks. A choice of strategies can meet many investment needs.
We do deep fundamental and sustainability risk analysis, actively shift exposure and closely track themes that influence market behaviour.
The lower risk label conceals the choices available to you
There’s a vast range of options out there. It’s true: you could help insulate your investments from unexpected shifts in stock markets with government bonds or the right corporate bonds. But if you’re feeling bolder, you could hold high-yield credit or dive into emerging markets, which are riskier – but have higher potential returns. You could even have a strategy that invests across all of these markets and let an expert decide on the best combination according to your goals
Specialists to steer you towards your investment goals
There are well over 30,000 bonds to choose from, and many risks to consider. You need specialists in economics and individual bond markets to formulate a view. You need analysts that understand each company in depth, to spot opportunities and risks, build the right strategy and then actively manage it as market conditions change. You also need to identify the long-term themes influencing the market – which is why a truly robust strategy should have environmental, social, and governance (or ESG) considerations at its core.
Active and adaptive
Designing and managing a diverse range of high performing Fixed Income strategies requires technical expertise. We don’t believe in ‘star’ investors who know everything. We believe in the team working together. Our platform of specialists, experts in their fields across the globe, works to capitalise on a wide range of opportunities.
Every team member contributes: fund managers, credit analysts, sustainability analysts, and market strategists all share ownership of an investment strategy.
Our global platform gives us a 360° view of what is influencing markets, government bonds, currencies and companies. We spot forward-looking themes that provide the context for our researchers to assess value and build conviction.
“With the right expertise in the team that manages your particular fund, you can balance risk much more effectively. So not only are you diversifying your investments but you’re optimising income and returns from your high conviction ideas as you go.”
Key Investment Risks
Past performance is no guarantee of future performance. The value of investments and the income from them can go down as well as up, and you (or your clients) might not get back what you originally invested.
When interest rates rise, bond prices generally fall. Corporate bonds will always be riskier than government bonds, since (unlike most governments) companies can sometimes go out of business – reducing the chances of you getting back the money you’re owed.
For illustrative purposes only and does not constitute to any recommendations to invest in the above-mentioned security/ sector/ country.
The information contained on this website is general information only and does not take into account your objectives, financial situation or needs. Before acting on the information contained on this website you should consider the appropriateness of the information in regard to your objective, financial situation and needs before making any decision about whether to invest, or to continue to hold an investment.
All investments carry risk, and the repayment of capital and performance of an investment is not guaranteed by Schroders or any other party. Opinions, estimates and projections constitute our judgement at the time of issue and are subject to change. Past performance is not an indicator of future performance. Investment guidelines represented are internal only and are subject to change without notice. “Forward-looking” information, such as forecasts or projections, are not guarantees of any future performance and there is no assurance that any forecast or projection will be realised. Past performance is not a reliable indicator of future performance. All references to securities, sectors, regions and/or countries are made for illustrative purposes only and are not to be construed as recommendations to buy, sell or hold.
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