Market Outlook · January 28, 2021

What's the Role of Fixed Income in a Low Rate Environment?

Joseph Mirsky

SVP, Head of Fixed Income

With interest rates near historic lows, we believe it's important to understand the role fixed income plays in an overall diversified investment strategy. Our discussion is broken into 4 parts.

1 Historical Returns

Returns have been robust, but there has been some decay as yields trend downward.

2 Expected Returns

Positive returns are forecast in the range of 2.5 to 3.5% depending on the time horizon.

3 Role of Diversifying

The impact of investing in low risk assets during times of turbulence is meaningful.

4 Value Added Through Active Management

It's our belief that fixed income plays a significant role in a client’s portfolio.

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