File Outline Insight

An Inflection Point

Four of Allspring’s fixed income leaders share their perspectives on the market volatility and banking system turmoil in the wake of SVB’s collapse and their views on what lies ahead for fixed income investing.

Geometric flower.

3/21/2023

24 min read


Topic

Market Events

Key takeaways

  • Following SVB’s collapse, volatility across the banking sector and regulators’ responses in the U.S. and Europe likely mark an inflection point in this tightening cycle.
  • From our perspective, liquidity and short-duration portfolios are well positioned for the current environment.
  • We’re constructive on the outlook for municipal debt and believe that many opportunities remain for investors to take credit risk.
  • Taxable bond investors, in our view, could benefit from the recent upsurge in volatility as it acts to slow growth and temper inflation."
Download Download