Rising rates: The best defense is a good offense
By Adam Pennacchio
30 April 2011
With interest rates at historically low levels and the Fed's second round of quantitative easing nearing completion, investors need to go on the offense, reviewing strategic allocations with a view towards reducing fixed income exposure. For assets remaining committed to fixed income, protecting portfolios against rising rates calls for indentifying bond sub-asset classes that may offer the best defense.