Bonds

Pension funds and other institutional investors have reversed outflows that plagued convertible bonds after the credit crunch, forcing managers to bump up against capacity, as David Walker reports

GLOBAL - PIMCO's Bill Gross is urging investors to play the safe end of the credit space by shunning duration risk, as rising inflation hits yields.

ASIA - Schroders has appointed Western Asset Management's Rajeev De Mello as head of Asian fixed income.

UK - Schemes will find opportunities in actively managed inflation-linked bonds next year due to the differential between RPI and CPI-linked bond yields, an asset manager claims.

The long-term bull market on government bonds stretching back over three decades is over, a fixed income manager says.

Schemes could shift to 75% bond allocations over the next five years as the desire to reduce investment mismatching gathers pace, a consultant says.

US - A third round of quantitative easing in the US would lead to the collapse of the dollar, M&G's Jim Leaviss has warned.

GLOBAL - Investors flocked back to equity funds in the fourth quarter of 2010 as appetite for bond funds fell, data from the European Fund and Asset Management Association (EFAMA) shows.

Pension scheme investment into UK equities has more than halved over the past decade as funds move into bonds and index-linkers, figures show.

GREECE - Greece plans to sell €1.25bn ($1.78bn) of 13-week Treasury bills today as growing speculation the country will need to restructure its debt pushed bond yields to euro-era records.