At Invesco, flexibility is key. Our broad range of fixed income capabilities allows investors to switch their preferences as markets evolve.
Whether you’re looking for income, diversification, capital preservation or total returns, our global fixed income teams have the strategies, the scale and the flexibility needed to match your objectives.
Over 200 fixed income investment professionals bring expertise in credit, rates and currencies, across regions, investment styles and capital structures.
Access this expertise through our active, passive, mainstream, innovative and ESG solutions.
Explore our comprehensive fixed income capabilities
Investing isn’t a part of what we do. It’s the only thing we do. Our fixed income professionals combine experience with ingenuity to help you reach your goals.
With no house view, our dedicated teams are free to focus on distinct asset classes, regions, styles and philosophies, supported by our extensive global resources.
Our culture of connectivity means there isn’t a fixed income market or sector in the world where we can’t offer a diverse and informed view.
Through experience and ingenuity, we identify opportunities in the active and passive space to ensure we’re at the forefront of fixed income investing.
As we journey to a more sustainable future, we build fixed income solutions that allow investors to incorporate their ESG objectives.
We’re continually developing innovative solutions to help our clients express their values in their fixed income portfolios. Our ESG strategies are grouped into four categories:
Industry sectors or companies excluded to avoid risk or better align with ESG objectives.
Certain companies or industries intentionally avoided based on ESG characteristics.
Certain companies or industries intentionally selected based on ESG characteristics to target a sustainable outcome.
Includes objective to generate intentional, measurable, and beneficial social or environmental impact, above and beyond the financial objective.
Global Fixed Income Strategy Monthly Report
In our regularly updated macroeconomic analysis we offer an outlook for interest rates and currencies – and look at which fixed income assets are favoured across a range of market environments.
Monthly fixed income update
June saw a resurgence in political risks with a snap election called in France, the upcoming general election for the UK, and the first televised debate between Trump and Biden ahead of the presidential election in the US. Read our latest thoughts on how fixed income markets performed during the month and what we think you should be looking out for in the near term.
Yields maintain record highs and offer positive relative value
Invesco’s bank loans, direct lending and distressed credit teams to share their views as the second quarter of 2024 wraps up.
If you’d like to discuss your allocations, complete the form and we’ll be in touch.
For many years, low yields have created a tough environment for investors looking to generate income through bond exposure.
With inflationary pressure building, several central banks have now raised interest rates, with further hikes on the horizon.
At Invesco, we offer a broad range of income solutions to help you navigate this changing market landscape.
Our active teams integrate ESG considerations in their fundamental research processes, carrying out their own proprietary assessments and using Invesco’s in-house ratings tool. This allows them to fill in any gaps left by holes in the third-party data. Engagement and dialogue are important parts of the process.
Our passive capabilities incorporate ESG considerations through positive and negative exclusions and, where holdings overlap, benefit from the engagement activities carried out by our active fixed income teams.
‘Local currency bonds’ are debt securities issued by sovereigns or corporates in their local currency.
‘Hard currency bonds’ are debt securities issued by sovereigns or corporates in other currencies – usually US dollars.
Hard currency strategies are sometimes deemed less volatile than local currency strategies, as they are exposed to less currency risk, but they can offer the potential for attractive returns.
AT1s, or Additional Tier 1 Capital Bonds are securities issued by European banks for regulatory purposes.
Given their subordinated position within the capital structure, AT1s offer a higher yield than more senior debt from the same issuer. Furthermore, they are callable securities, which means they have relatively little interest rate risk.
These hybrid securities have become increasingly attractive for yield-seeking investors, with the asset class maturing to a current market capitalisation of over US$250 billion.1
The value of investments and any income will fluctuate (this may partly be the result of exchange rate fluctuations) and investors may not get back the full amount invested.
Debt instruments are exposed to credit risk which is the ability of the borrower to repay the interest and capital on the redemption date.
All data is provided as at 31 December 2021, sourced from Invesco unless otherwise stated.
This is marketing material and not intended as a recommendation to buy or sell any particular asset class, security or strategy. Regulatory requirements that require impartiality of investment/investment strategy recommendations are therefore not applicable nor are any prohibitions to trade before publication.
Where individuals or the business have expressed opinions, they are based on current market conditions, they may differ from those of other investment professionals, they are subject to change without notice and are not to be construed as investment advice.
