Investment grade hybrid bonds as an interesting alternative
25 November 2022
Investment grade hybrid bonds as an interesting alternative
In the current market environment, hybrid bonds are once again becoming more attractive.
With the already noticeable slowdown in global economic growth, the recently published inflation data from the U.S. have raised hopes of a less restrictive monetary policy. Nevertheless, most market participants remain cautious, as falling prices are also expected to lead to a decline in corporate profits. We therefore consider a defensive orientation to be sensible and see a very attractive entry opportunity in hybrid bonds in particular.