Investment-grade corporate bonds are still generating reasonable income, while government bonds provide safety and risk aversion. These qualities are much in demand during this time of significant economic uncertainty
Provincial bonds have been overlooked in the past few years, but they offer healthy returns combined with a low risk of default
The Canadian dollar's classification as a "reserve currency" will enhance the visibility of Canada's government bonds
Canada is no longer the best place for bond investors
Drop driven by crisis in Europe
How the U.S. government will cope with its fiscal cliff is speculation. Go with short bonds to be safe
Issuance expected to rise
There has been an absence of upgraded credit ratings, while defaults and downgraded credit ratings have persisted
In spite of the low yields on bonds, there remains a rationale for holding them: they stabilize portfolios and pay back face value
The prolonged crisis has inverted the assumption that public debt is in the top tier of the bond market