Expect Positive Trends for Corporate Bonds in 2023

By Garrett Melson, CFA®

Outlook 2023: Positive Trends for Corporate Bonds

Portfolio strategist Garrett Melson discusses improving valuations in fixed income, particularly investment grade corporate credit.

Portfolio Strategist Garrett Melson discusses improving valuations in fixed income, particularly investment grade corporate bonds, pointing out that the technicals and relative value in credit are very favorable now. While there have been significant outflows in both investment grade and high yield corporate bond markets this year, those trends are starting to reverse. On a historical basis, after a 40-year bull run, yields look compelling, and investment grade bonds stand out on the high quality spectrum.
This material is provided for informational purposes only and should not be construed as investment advice. The views and opinions contained herein reflect the subjective judgments and assumptions of the authors only and do not necessarily reflect the views of Natixis Investment Managers, or any of its affiliates. The views and opinions expressed are as of December 2022 and may change based on market and other conditions. There can be no assurance that developments will transpire as forecasted, and actual results may vary.

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