Jupiter’s Confidence in Bonds Grows on Mispriced Recession Risk
- Fund manager remains positioned for declining global growth
- Morgan comfortable inflation will continue to moderate
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Jupiter Asset Management is sticking with its “high conviction” in government bond exposure in its flagship funds, despite renewed market optimism about the US economy that has pushed global yields higher.
Being a bond bull has become increasingly unpopular at a time when Wall Street has tapered recession probabilities on last week’s blow-out jobs report, laying to rest some skeptics of a so-called “no-landing” scenario. But numbers under the surface aren’t quite as healthy and history shows any deterioration could see yields overshooting lower, according to Matthew Morgan, head of fixed income.