As the debt ratios of developed nations deteriorate, investors are increasingly seeing the need to adjust the role of sovereign debt in their portfolios. Previously, diversified institutions used the sovereign debt of developed nations as risk-free anchors. According to portfolio manager Clive Smith of Russell Investments, now that the IMF is estimating government debt in the G-20 nations may escalate to 300% of fiscal revenues in 2014, investors need to be more focused on the risks inherent in sovereign debt. Full Story
Investors warned of sovereign debt risk
Investment & Pensions Asia, 16 Apr 2010
As the debt ratios of developed nations deteriorate, investors are increasingly seeing the need to adjust the role of sovereign debt in their portfolios. Previously, diversified institutions used the sovereign debt of developed nations as risk-free anchors. According to portfolio manager Clive Smith of Russell Investments, now that the IMF is estimating government debt in the G-20 nations may escalate to 300% of fiscal revenues in 2014, investors need to be more focused on the risks inherent in sovereign debt. Full Story
As the debt ratios of developed nations deteriorate, investors are increasingly seeing the need to adjust the role of sovereign debt in their portfolios. Previously, diversified institutions used the sovereign debt of developed nations as risk-free anchors. According to portfolio manager Clive Smith of Russell Investments, now that the IMF is estimating government debt in the G-20 nations may escalate to 300% of fiscal revenues in 2014, investors need to be more focused on the risks inherent in sovereign debt. Full Story