Rising interest rates were the main concern of 22 percent of advisors in the fourth quarter, according to the Advisor Investment Pulse survey, conducted by Fidelity Financial Advisor Solutions.
Of the 200 advisors polled, 19 percent were more worried about market volatility and avoiding a market meltdown.
“The prospect of rising interest rates has been a big area of focus for well over a year,” said Scott E. Couto, president of Fidelity Financial Advisor Solutions. “Even in an uncertain interest rate environment, there are some immediate actions advisors can take to help their clients generate income, particularly those clients in retirement.”
Couto suggests that advisors look at how fixed income can play an important role in their clients’ portfolios, particularly during periods of volatility and continued uncertainty about interest rates.