Did you know that floating rate loans, given their lack of interest rate sensitivity, will continue to stand out among credit and that income funds can remain a compelling option for investors? Find out why in these short videos.
Floating Rate Income (Wellington Square)
Wellington Square’s portfolio manager, Tracy Zhao, explains why the IA Clarington Floating Rate Income Fund (Floating Rate Income (Wellington Square) for the segregated fund) is well positioned for an inflationary and rising rate environment.
She addresses the following five questions:
- Have you made portfolio adjustments given recent volatility in fixed-income markets?
- Why are floating rate loans a good option in an environment where inflation and interest rates are rising?
- Are you putting cash to work in this environment?
- Is your data showing strong flows into senior loans from investors?
- Are you concerned about defaults?
Link to video
Video transcript (PDF)
Core Plus Bond (Wellington Square)
Did you also know that volatility in the bond market has been so swift that in less than a year after the all-time low of 2021, the downward trend has completely reversed and today, all bonds in the Bloomberg Global High Grade index are now yielding more than 0%?
Portfolio manager Andrew Khazzam discusses the outlook for fixed income and the IA Clarington Core Plus Bond Fund (Core Plus Bond (Wellington Square) for the segregated fund) after a very challenging first part of the year.
He addresses the following four questions:
- Can you review the first quarter in the fixed-income markets?
- Have you made portfolio adjustments given recent volatility in fixed-income markets?
- Do you continue to prefer Canadian corporate bonds relative to U.S. corporate bonds?
- Why is this fund still a compelling option for investors?
Link to video
Video transcript (PDF)
Note: Videos as at May 27, 2022. The returns are for the IA Clarington Core Bond Plus mutual fund and the IA Clarington Floating Rate Income mutual fund. Mutual funds are not guaranteed. Their values change frequently and past performance may not be repeated.
