In times of crisis, clients have become more sensitive to risk and are less concerned about missing out on high-returns. This change in risk appetite is conducive to greater portfolio diversification towards fixed income. Our fixed income experts will identify opportunities, which vary in terms of yield, investment horizon and liquidity.
Investing in the bond market means choosing a market with a liquid value of over US$ 94 trillion (source: Bank for International Settlements end of 2010).
The bond market offers numerous advantages:
- Fixed maturity and coupon payments can provide a regular and predefined cash inflow;
- Reduced volatility;
- A wide range of possible investment characteristics, whether corporate or sovereign debts, currencies, maturities or levels of risk;
- Ongoing and developing interest from international investors;
The global investment universe of issuers is closely monitored by a dedicated team of more than 20 experienced credit analysts. The universe encompasses not only sovereign and investment grade corporate issuers, but also high-yield names. In terms of regions, Société Générale Private Banking has developed extensive coverage including emerging markets ie eastern Europe, the Middle East, Latin America and Asia. More than 500 credit issuers are analysed by the credit analysts.
The fixed income investment approach incorporates both macro-economic and strategic views. 5 fixed income experts based in Paris, Luxembourg, Switzerland and Hong Kong support the local investment teams in delivering specific advice and valuable management services:
- continuous and up to date views on Fixed Income markets;
- ongoing and developing interest from international investors;
- bond picking: fundamentals, relative value analysis, primary markets, credit default curves, market liquidity, currencies & capital structure;