Fixed income was challenged in 2022 due to inflation and rising rates, causing historic losses. But Insight Investment head of global credit, Adam Whiteley believes current high bond yields offer strong compound return potential, especially for active managers.

Insight Investment senior portfolio manager, Damien Hill outlines why he believes a strategic bond strategy could be the right fixed income tool when it comes to tackling the job of retirement investing.

Investors will remember 2022 as an annus horribilis in which the correlation benefits of an equity and bond portfolio fell apart. But one positive from that episode has been a more nuanced understanding among advisers of portfolio diversification, especially in a period of structurally higher inflation and interest rates. Here, we draw on findings from our fixed income research to understand what lessons advisers learned from 2022 and how their attitude towards fixed income is changing as a result.