Inflows to fixed-income products continued in November on account of market-volatility worries, while equity outflows this year could surpass 2008 levels.
Investors should keep their expectations in check with few asset classes looking particularly attractive and complacency in the marketplace, says Allocation Fund Manager of the Year David Giroux of T. Rowe Price Capital Appreciation.
With yield spreads back to pre-crisis levels, there is less room for error in the high - yield market today, says Morningstar director of fixed-income research Eric Jacobson.
Most firms in the high - yield market have spent the last few years strengthening their balance sheets, making them well positioned for slow, bumpy growth in the U.S.