Volatile Markets Creating Unprecedented Challenges
This report outlines the problems that fixed income asset managers are facing in the midst of the volatile capital markets of 2011. These include challenges related to:
- Portfolio duration
- Yield curve structure
- Sector risk
- Security selection
It also offers detailed examples of how fixed income asset managers can use CME Group futures and options to manage their risks. Specifically, CME Group products can assist asset managers with the following issues:
- Measuring risk
- Managing duration
- Managing yield curve duration
- Sector weighting strategies
- Liability-driven investing
The Risk Management for Fixed Income Asset Managers report was written by CME Group research and interest rate staff.
Featured Information
All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.
