Watch for the bond bubble

The credit markets have avoided becoming the next bubble waiting to burst. Nevertheless, investors should be cautious of government bonds.

hfr-family-office-2009-audience-generic

Leading investment managers think there was probably a credit bubble in 2007 which has been and gone. High levels of government borrowing mean that inflation is likely to rise, and while government bonds are making money now, investors could stand to lose a lot in the future.

“I think it’s probably true to describe something as a bubble if the level it trades at is susceptible to a very small change. I don’t think the same thing can be said of credit markets and how they’re trading, not yet,”

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

Most read articles loading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here