They also expect the bull market will end in the coming year.
Tag: interest rates
Higher short-term rates translate into additional income for investors from their bond portfolios, and their fixed-income allocation should provide greater ballast for the more volatile equity component of their portfolios, says Joseph Davis, with Vanguard.
An Insights article from Cammack Retirement notes how different fixed income vehicles perform under a rising interest rate environment and suggests DC plan sponsors offer a diverse menu of options for participants.
Willis Towers Watson researchers present various opportunities “outside of traditional hedging assets other than long corporate credit that may be added to [pension funds'] hedging portfolios to help provide a diversifying source of long-term credit premia.”