Amundi sees opportunity if Italy spread hits 300 bp
Top market experts at Europe’s biggest fund manager, Amundi, do not believe that the upcoming elections in Italy will trigger much volatility in Italian bond markets, although a spike could present a buying opportunity. Italy’s parliamentary elections are scheduled for the end of this week, Sunday 25 September.
Amundi says it’s time to love bonds again
Europe’s biggest fund manager, Amundi, is telling investors that it is time to get back into the bond market. And it believes that reports of the death of the 60-40 portfolio are greatly exaggerated. That theory merely has spent time in the freezer, said Vincent Mortier, Amundi’s chief investment officer.
“Bond is back, and not only on screen,” Mortier jokingly told journalists in a media call on Tuesday.
A rerun of the 1970s requires a profound rethink
It’s not difficult to compare today’s era to the 1970s. An energy crisis, a hot war, a cold war, persistent inflation, soaring interest rates, rising house prices. Even Abba, with its flared trousers, is performing again, albeit as a hologram. For investors, a rerun of the 1970s would require a profound rethink.