Investment Insights

There is value left in eurozone investment-grade corporate bonds even after a solid 2023. Scope for looser monetary policy from the European Central Bank will likely be one of the key drivers, potentially paving the way to returns of 6-6.5% in 2024, argues Victoria Whitehead, Head of Investment-Grade Credit, on this Talking Heads podcast with Daniel Morris, Chief Market Strategist. Continued inflows reflecting a search for yield among investors aligned with the prospect of companies issuing fewer bonds due to fewer merger and acquisition deals bode well for the segment in 2024. Many blue-chip large-cap companies look set to enter a period of weaker growth with strong balance sheets. This should enable them thus be able to navigate the slowdown, Victoria concludes.