Bond funds are adding to duration in India as bets that the central bank will keep cutting rates move out on the curve. A second strategy is to rotate to corporate debt ahead of yield compression.
A majority of the seven money managers surveyed by Bloomberg favor the 10-15 year part of the sovereign curve ahead of the Reserve Bank of India’s policy decision on June 6. The preference for duration reflects expectations that the central bank will cut rates beyond the sole 25-basis point re ..
