Prudential’s analysts this year also steered the fund away from investments in high-yield commodity and energy bonds. The latter lost 9.6 percent in 2015, Bank of America Merrill Lynch indexes show.

“Our analysts knew there was going to be a bloodbath,” Collins said.

The fund’s managers, who include Richard Piccirillo and Gregory Peters, are bullish on bonds. They expect sluggish global growth, which translates into low inflation, low interest rates and easy monetary policy from key central banks. The U.S. will do better, they argue, which means that global investors will find U.S. fixed-income attractive, lifting prices on many of their investments.

“Bonds will surprise people on the upside,” Tipp said. “They will continue to be a decent source of income.”

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