- 12 June 2026
Invesco’s June 2026 Global Fixed Income Strategy Monthly Report examines the key forces shaping global...
Split decision: Making sense of market divergence
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- 10.03.26
Divergence within asset classes exists across many markets. It has been present in loans for a while and is now in equities and areas of the credit market. Within equities, strengths and weaknesses in sectors reflect a classic rotation: more defensive or value‑tilted segments are holding up, while growth and mega‑cap tech cools. Investors are becoming more sensitive to valuation and are less willing to pay indiscriminate costs for long‑dated growth. Credit markets show a similar split, with higher-quality loans in demand and distressed options avoided.
Whilst artificial intelligence (AI) is boosting productivity, disrupting business models, and reshaping cash‑flow expectations across industries, it is also fuelling this divergence. Add in interest rate uncertainty and the result is rising market dispersion, shifting risk appetite, and the need for selectivity.
In this article from John Lloyd, Global Head of Multi Sector Credit at Janus Henderson Investors, discover how dispersion is reshaping opportunities across markets in this article.
