Opportunities in Fixed Income

Fixed income investments now offer better yields compared to a few years ago, with opportunities to generate income across all fixed income sectors. For example, triple B investment grade credit now yields 6%, equivalent to what high yield triple C credit used to yield. This improved entry point into fixed income creates a favorable opportunity for investors. Additionally, there is a trend of borrowers in the fixed income market moving towards deleveraging, resulting in lower issuance and a focus on defending balance sheets. This combination of higher yields and potential for lower issuance makes fixed income an attractive option.