There will be no shortage of volatility in the new year — making expert knowledge even more critical for navigating fixed income markets.
That’s according to the world’s top providers of fixed income, who are seeing the upcoming challenges as opportunities.
“While the correlation of markets was high this year, we think that the dispersion of performance across markets will increase this year, driven by how different economies evolve,” said Hussein Malik, co-head of global research at JPMorgan Chase & Co. “We expect this divergence to appear both across developed and emerging market economies, as well as between high grade and higher yielding debt markets.”
JPMorgan has once again topped Institutional Investor’s annual Global Fixed Income Research Team, based on a survey of 6,040 investment professionals at 1,650 institutions across the U.S., Europe, Latin America, Asia, and emerging EMEA.
The past year has seen significant macro events, shifting market sentiment, and high correlations across asset classes, according to Marko Kolanovic, chief global markets strategist and co-head of global research at JPMorgan.
To select the members of our fourth annual Global Fixed Income Team, Institutional Investor solicited the opinions of bond and credit specialists at leading asset management firms around the world. We received responses from 6,040 investment professionals at 1,650 institutions.
Macro sectors were polled by region for the US, Europe, Latin America, Japan, Asia ex-Japan, and Emerging EMEA. Credit sectors were polled for the US and Europe. Additionally, four global sectors were polled.
Participants first rated their top firms in regional sectors on a scale from 1-5, and then separately rated individual analysts or economists/strategists at those firms to create two distinct results for each sector. A numerical score was produced by weighting each vote based on the respondent’s fixed-income AUM for the region voted in and the ratings awarded.
Using those scores, ranks were then determined. Firms/analysts were designated runners‐up when their scores came within 35 percent of the third-place scores.
In the Investment-Grade and High-Yield categories only those analysts who publish independent research pursuant to Regulation AC or as defined by the UK’s Financial Conduct Authority are eligible to be recognized. No such restriction applies in Economics and Strategy sectors.
The individuals surveyed are kept confidential to ensure continuing cooperation. Voters must meet eligibility requirements, and winners must achieve a minimum vote count.