Destra Insights

Special situations credit investing is a sophisticated institutional strategy focusing on unique credit opportunities in companies facing stress, distress, restructuring, bankruptcy, or other dislocations.

Log jams and bottlenecks may impact what’s under your Christmas tree this year. And some worry that could be negative for the economy and markets. But for every action there is a reaction and for every situation there is an investment opportunity.

An important key to enhancing portfolio performance and reducing risk is through more effective portfolio diversification. As the chart below shows, this can be achieved by combining asset classes that exhibit low correlations to one another.

In today’s age of digital technology, we are faced with a never-ending stream of bad news that often creates high levels of market uncertainty. The good news is that it creates a continuous stream of opportunities for astute bond investors to capitalize on (1) the economic cycle and (2) surprise events.

The sell-off in growth-sensitive risk assets and volatility in financial markets since late February is unprecedented in its pace and magnitude. Financial markets continue to be roiled by the economic and financial implications of the COVID-19 pandemic and efforts to contain its spread and the loss of life. The world’s major economies are on the brink of recession, the depth and duration of which is highly uncertain.

The sell-off in growth-sensitive risk assets and volatility seen in financial markets since late February is unprecedented in its pace and magnitude. Financial markets continue to be roiled by the economic and financial implications of the COVID-19 pandemic and efforts to contain its spread and the loss of life.

We had the opportunity to sit down with Mark Dowding, Chief Investment Officer at BlueBay to discuss his Macro Tips for 2020. Please enjoy this short podcast.

Negative-yielding bonds that, if held to maturity, are guaranteed to impose a loss on investors. The stock of negative-yielding bonds has almost doubled since the start of the year to USD16 trillion, amounting to some one-third of global bonds.

So far, the transition from the London Interbank Offered Rate (LIBOR) to the Secured Overnight Financing Rate (SOFR) has been going smoothly. Read more about the transition and comments from Destra's Investment Partner