Nisha Patel

"One market we like is the municipal bond market. Yields are very attractive in the intermediate to long end of the curve." In a "higher for longer" rate environment where inflation is sticky but economic growth is cooling, investors need yield without taking on excessive corporate default risk. Municipal bonds offer tax-advantaged income and historical resilience during economic downturns, making them a superior risk-adjusted alternative to lower-tier corporate credit. LONG. Lock in attractive intermediate-to-long yields in high-quality municipal debt before the Fed eventually pivots to rate cuts. A severe liquidity crisis that causes a broad selloff in all fixed-income assets, temporarily widening municipal spreads.

Corporate debt, particularly short to intermediate maturity, is a fantastic way to add exposure because the main story for fixed income is income, which hasn't been seen in a while. Real yields look compelling, and there's a lot of opportunity in fixed income, especially given a robust economy with a steeper yield curve and volatility in the long end. On the high-yield side, you're not getting as much pickup to take on additional credit risk.

Corporate debt, particularly short to intermediate maturity, is a fantastic way to add exposure because the main story for fixed income is income, which hasn't been seen in a while. Real yields look compelling, and there's a lot of opportunity in fixed income, especially given a robust economy with a steeper yield curve and volatility in the long end. On the high-yield side, you're not getting as much pickup to take on additional credit risk.