Why Traditional Fixed Income Alone May No Longer Be Enough

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  • 50 mins 45 secs
Catalyst & Rational Funds
Alternative Income
Why Traditional Fixed Income Alone May No Longer Be Enough

  • Historically, traditional fixed income has acted as a counterbalance to equity exposure. This relationship broke down in 2018 for the first time in the history of the Barclay’s Aggregate Index going back to 1976.

  • Many bond portfolios are under-exposed to the broader fixed income universe. This is problematic as it could lead to a lack of diversification, which could result in higher risk and lower overall returns for investors.

  • How to diversify traditional fixed income allocations via floating rate loans and Commercial Mortgage Backed Securities (CMBS).

Channel

Catalyst Funds