economy
Why investors may want to prioritize bond markets outside the U.S.
Allspring Global Investments is pushing clients toward countries with central banks that are raising interest rates or have different inflation dynamics.
TL;DR
- George Bory of Allspring Global Investments recommends exploring bond markets outside the U.S.
- Central banks in countries like the UK, Europe, and Australia are raising interest rates.
- These actions differ from the U.S. Federal Reserve's slower pace.
- Short to intermediate duration global government developed market bonds may offer good opportunities.
- Diversifying bond exposure globally can benefit portfolios by playing different rate cycles.
- Steve Laipply of BlackRock also sees advantages in European fixed-income securities.