- 30 June 2026
Peter Wilke argues the AI build-out is straining supply today, even if the technology proves disinflationary...
Why trustees should rethink how their global credit mandates are built
- INSTITUTIONAL INVESTORS
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- 30.06.26
Higher rates have restored income to global credit, but L&G's Ian Hutchinson argues the opportunity for trustees has shifted from simply holding spread to navigating a more fragmented market. With overall spreads at historical tights, dispersion between sectors and regions remains significant, meaning selectivity now matters more than broad exposure.
Hutchinson also points to the growing interdependence of credit and rates decisions, arguing that duration calls can have as much impact on returns as credit exposure itself, and that the traditional separation between asset allocation and security selection is becoming less effective.
For trustees assessing fixed income mandates, this piece is a useful prompt to ask how managers integrate credit and rates decisions, and whether they have genuine regional expertise behind the headline yield figures.
