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Opportunities within European credit

TwentyFour

Watch 3 min

Aug 02 2024

Positioning and fixed income markets have remained quite tricky this year, however credit markets have continued to perform very strongly. TwentyFour Asset Management's Eoin Walsh, discusses why he thinks there is opportunity within European credit despite the rate headwinds and pull back on some of the aggressive rate cutting expectations markets had at the start of the year.

Key takeaways:

Fixed income market performance

Rate headwinds have persisted, requiring market participants to adjust their earlier expectations of aggressive rate cuts

Credit markets

Strong performance in credit markets, particularly in Europe, have shown strong performance and offer attractive yields compared to US markets

Relative value in European assets

European high-yield sectors are providing higher yields compared to the US, with European high-yield bonds offering around 8%, UK just under 9%, and US around 7%

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About the author

Eoin Walsh

Eoin Walsh

Partner, Portfolio Management

Related strategies

Strategic Income

About the author

Eoin Walsh

Eoin Walsh

Partner, Portfolio Management

Topics:

Europe Fixed Income Market Update Multi-Sector Bonds TwentyFour

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TwentyFour

Based in London and New York, TwentyFour is a specialist active fixed income manager with a strong reputation for performance, expertise and innovation. Offering Multi-Sector, Investment Grade, Asset-Backed Securities and Sustainable strategies, TwentyFour targets the best risk-adjusted returns from across the global bond markets.

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