JPMorgan AM Says Days of Simply Hedging Risk With Bonds Are Over
- Firm downgrades targets for bonds, upgrades private equity
- Negative yields make bonds an expensive insurance policy
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With havens gutted by negative yields for years to come, JPMorgan Asset Management reckons it’s time to redefine what’s safe.
Over the next decade, alternatives such as private equity and real assets could help juice returns the firm sees draining away from portfolios that allocate 60% to stocks and 40% to bonds.