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By James TOMLINS, Fund Manager of the MG (Lux) Global Floating Rate High Yield Fund
There are a number of fixed income instruments and strategies that we believe could help to offset the negative impact of inflation. In 2022, the macroeconomic environment appears to be highly supportive for high yield floating rate notes.
The most conventional means of inflation protection is provided by inflation-linked bonds, since their payments are automatically adjusted in line with an official measure of inflation.
The inflation-linked government bond market covers a wide range of sovereign issuers across different maturities. There are also a number of companies that issue inflation-linked bonds. Corporate linkers can offer an...
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