Get out of cash — that's what many on Wall Street have been saying since expectations of rate cuts started rising earlier this year.
They're now doubling down on that call, with the U.S. Federal Reserve signaling that it would finally cut rates in September.
That would make cash rates less attractive than other parts of fixed income.
"An easier tack from the central bank is likely to buoy risk markets like high yield fixed income and other spread product, including structured products, investment grade corporates and emerging market debt," said Robert Tipp, chief investment strategist and head of global bonds at PGIM Fixed Income.
For investors looking for ideas, here are the top-performing global fixed income funds covered by Morningstar.
Persons:
They're, Rick Rieder, Robert Tipp, Tim Murray, Price
Organizations:
U.S . Federal Reserve, Morningstar