Convertible bonds: why is active management essential?

(Article in French)

Convertible bonds: why is active management essential?

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In an article published today in L'AGEFI, Cristina Jarrin, CIO Fixed Income at IRIVEST Investment Managers, shares her insights on the evolving convertible bond market and its role in portfolio diversification.

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With a significantly renewed market and record levels of issuance, convertible bonds present new opportunities for investors, combining equity upside potential with bond-like downside protection.

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However, this protection is not automatic. As equity markets rise, convertible bonds become increasingly sensitive to equity movements, highlighting the importance of active and selective management in preserving their asymmetric risk-return profile.

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The key challenge: maintaining the right balance between return potential and risk management.

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Read the full article in L'AGEFI: Les obligations convertibles doivent être gérées activement pour jouer leur rôle d'amortisseur - L'Agefi

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