In the middle of March when the world suddenly became aware of the economic consequences of the virus pandemic, the high yield or junk bond market almost became dysfunctional, according to Invesco fund manager Rhys Davies. Trading became very difficult as volumes shrank and prices fell (causing yields to rise).Junk bonds are debts issued by companies that have poor fundamentals and weak...

SPONSORED CONTENTGiants in nichesIs it possible to find certainty in an uncertain world? Perhaps not, but when companies have few competitors and a premium product, it does make them an attractive investment proposition, says co-portfolio manager Stefan GriesCapital at risk: All financial investments involve an element of risk. Therefore, the value of your investment and any income from it...

Retail investors are racing to dump stock after massive profit warnings spook the markets. Flooring business Carpetright (CPR) and funerals provider Dignity (DTY) are both hammered, while poor Christmas trading at Bonmarche (BON), the fashion chain for the maturer shopper, drags its share price heavily lower.Carpetright sees its shares plummet 45.3% to 90p as a 'significant deterioration' in...

A specific area of the value investing discipline, 'deep value' investing has been around for a long time and historically generated big returns for contrarians willing to stand apart from the herd. Yet many investors dismiss deep value as a dangerous, short-term investing methodology, akin to trying to sift for gold within a pile of trash.Though recovery investing can be a high-octane...

Disappointing US earnings, ongoing concerns over Greek debt and the fall-out from the Chinese stock market crash are adding up to a pretty gloomy summer for the markets. Investors looking for a measure of safety in their portfolios could consider a multi-asset fund of funds option like Sarasin Fund of Funds Global Strategic Growth (GB00B7JVTS34).This is one of four funds of funds run by...

The expansion of the exchange-traded funds (ETF) market has enabled private investors to gain the kind of passive exposure to equity indices which has been enjoyed by large institutional participants for decades.If history is any guide then this exposure is worth having. The FTSE All-Share has generated an average annual total return of 11.4% since its inception in 1962, made up of a yearly...

Global markets continued to roar with optimism on Tuesday, with the FTSE 100 flying 120 points higher to 6,774.32 as UK investors returned from the long weekend in buying mood. News from the CBI of rising confidence in the UK service sector helped lift sentiment towards the leisure industry, with holiday operator TUI Travel (TT.) putting on 10p at 368.6p and Holiday Inn-owner InterContinental...

Racking up the profits on the back of central bank interest rate decisions with spreadbetting on the foreign exchange (forex) markets requires a good ear, a sharp eye and attention to detail.With the global economy clawing its way back from recession traders' attentions are fixed on benchmark interest rates, which reflect a central bank's monetary policy on what the cost of borrowing should...