More investors expect demand for investment grade credit to increase over the next 24 months, a survey indicates.
Forty-two percent of those interviewed said they expected the asset class to see more demand compared to 10% who thought demand would fall.
The research was published by Tabula Investment Management, a recently formed exchange-traded fund manager that specialises in fixed income.
Broadly, fixed income assets linked to credit and inflation will see the biggest increase in demand from investors, the firm’s research suggested.
Some 48% of the 55 institutional investors and wealth managers interviewed expect demand for inflation strategies to increase between now and 2020, and just 2% anticipate a fall.
Other fixed income/debt strategies that investors expect to see a net increase in demand over the next two years include high yield credit, emerging market debt and asset backed securities. Demand for government bonds will remain relatively flat.
©2018 funds europe
