Balance amid turbulence: The case for Euro corporate bonds

With AI‑bubble worries, large fiscal deficits, eurozone weakness and persistent political uncertainty constantly pressuring markets, periods of volatility are likely. Investors may find stability in European investment-grade corporate bonds, given that in risk-off scenarios, their duration and credit spreads may offset each other. These two components offer benefits in both favourable and tricky environments. During good times, when the economy is growing and credit spreads are tightening, the credit element aids performance. In periods of weakening economy, the duration component may act as...