Big investors are worried about corporate bonds! These are like IOUs from companies. They're usually pretty safe, but some experts think they're too pricey right now. Lots of people are buying them, which makes some experts nervous.
- Some smart money managers are selling corporate bonds.
- They're moving to safer investments like government bonds and cash.
- They think the rewards aren't worth the risks anymore.
- Other investors are still buying because the interest earned is high.
| Fact | Number |
|---|---|
| Investment-grade spreads | Tightest in almost 20 years |
| Franklin Templeton's credit exposure | Reduced from 40% to under 25% |
| AXA's cash and sovereign debt allocation | Increased to 30%, the highest since late 2021 |
