Is a passive approach to corporate bond management sensible?

From Royal London Asset Management’s viewpoint we strongly believe that active bond management, particularly credit bond management, adds significant long-term value.

This view challenges the consensus that active managers do not add value after fees are considered. Our view is that the adoption of a passive approach to bond management will mean that clients miss out on opportunities which enhance bond returns and that their portfolios will consequently deliver lower returns.

In this article we look at the structural credit market inefficiencies that underpin our sterling credit investment philosophy and assess how the volatile conditions of recent years have impacted relative performance.

Read in full: Is a passive approach to corporate bond management sensible?

This is a financial promotion and is not investment advice. The views expressed are those of the author at the date of publication unless otherwise indicated, which are subject to change, and is not investment advice.