Bond Funds
Why invest in bond funds?
Bonds – sometimes referred to as fixed income – are the most versatile asset class in an investment strategy.
They can perform a variety of roles for you. For example, low-risk government bonds can preserve your capital and deliver a steady return. Meanwhile, you can make use of high-yield corporate bonds or ‘emerging markets debt’ to maximise income.
What makes bond funds stand out is their consistent ability to pay out a regular income, whether each quarter or half yearly. Moreover, this income is generally higher than you would get with equity funds.
When bonds are expertly managed, they can help investors exploit movements in interest rates and changes in the general economic climate.
Not least, because they can perform well at different times to equities, bonds can provide an effective means of managing risk in your portfolio.
Why J.P. Morgan bond funds?
With our long and proven history of performance, we are one of the world leaders in bonds. Indeed, bonds form the largest part of our asset management business.
So our considerable in-house expertise gives J.P. Morgan clients a significant advantage over other bond fund providers. But please note that bond funds may not behave like direct investments in the underlying bonds themselves. By investing in bond funds the certainty of a fixed income for a fixed period with a fixed return of capital are lost, so the value of your investment can fall as well as rise and you may not get back the original amount invested.
Research and global reach
Our sheer size also gives you a further advantage, as we can invest considerable resources in researching new opportunities. Our separate sector specialists and portfolio managers can generate investment opportunities and construct portfolios in keeping with each client’s stated preferences.
Another attraction is that, by tapping into our unsurpassed global expertise, we can apply the insight we have gained in, for example, the United States, for the benefit of our clients based in Europe.