BlackRock trims long-term exposure to credit to 'neutral' citing spreads

This post was originally published on this site

“We have turned neutral on credit on a strategic basis because we see investment grade spreads offering less compensation for any increase in default risks,” BlackRock said in its weekly note, adding it would keep its overweight on a tactical 6-12 month basis.

“On a tactical horizon, extraordinary measures by central banks including purchases of corporate debt are supportive.”