May 2022 / VIDEO
What a Rough Quarter for Bonds Means for Asset Allocators
Key Insights
- In the first quarter of 2022, the bond market had its worst three-month performance in more than 30 years.
- Although bonds usually have an inverse relationship to stocks, rising interest rates and inflation shocks are typically headwinds for both asset classes.
- Our Asset Allocation Committee is slightly overweight to bonds, favoring higher-yielding sectors including bank loans, high yield bonds, and short-term TIPS.
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May 2022 / INVESTMENT INSIGHTS
May 2022 / INVESTMENT INSIGHTS
Sébastien Page is head of Global Multi-Asset and chief investment officer. He is a member of the Asset Allocation Committee, which is responsible for tactical investment decisions across asset allocation portfolios. Sébastien also is a member of the Management Committee of T. Rowe Price Group, Inc.
Tim Murray is a capital market strategist in the Multi-Asset Division. Tim is a vice president of T. Rowe Price Associates, Inc.
