Challenger Investment Partners default banner

Where CIP Asset Management sees credit opportunities in the rubble

June 2022

The following was published on Livewire Markets on 6 June 2022.

Let’s not mince words – it was a rough first quarter for investors. Apart from commodities and cash, it was very difficult to make and sustain money anywhere in the market. For credit investors like Pete Robinson at CIP Asset Management, the first three months will go down as one of the largest drawdowns in history thanks in large part to base interest rates.

But is the worst behind us?

Pete says it’s a two-part story – particularly as base yields rise sharply (that is, a steepening in the yield curve) and credit spreads begin to widen after two years of depressed returns. Pete notes that we’re back at pre-pandemic levels on the latter and he says there are green shoots starting to appear. 

This edition of Expert Insights will see Pete tell us more about the opportunities he is seeing in the space – including a note on the importance of price to performance dispersion. Plus, we’ll get some insight into his selection process as he siphons out the best and worst opportunities.

Categories