Impending Default Cycle Makes Corporate Bonds High Risk, Newton Says

The video discusses the rapid equity recovery and its impact on the bond market, highlighting the tactical increase in exposure to high yield and emerging markets. It explores the potential for defaults in 2019 and the varying risks associated with different fixed income assets. The discussion also covers recession risks, with differing views on the likelihood of a recession, and the role of the Fed funds rate in shaping investment strategies. Finally, it examines opportunities in emerging markets, emphasizing the need for selectivity in light of potential economic slowdowns.

How should investors approach asset rotation in a fixed income portfolio this year?

What considerations should be made when investing in emerging markets?