Hybrids, Bond highs with equity's lows?

Market insights

Thursday 23 March 2017

Hybrids have been part of the Australian investing landscape for over 30 years. Recently, local hybrid securities have been impacted by new regulatory changes stemming from increased global banking regulation reform.

These changes are shifting the hybrid landscape, and we believe they are also changing the securities’ risk profile.

Our latest research incorporates these latest developments and highlights how hybrids continue to exhibit the upside potential of bonds and the downside potential of equities.

In our view this makes them an unsuitable substitute for an investor’s fixed income allocation.

You can read more in our short insight, 'Bond highs with equity’s lows'.

Download Hybrids, Bond highs with equity's lows?

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