MS INVF Glb Convertible Bonds: Qual. Rating Issued

Morgan Stanley Global Convertible Bonds comes across as a solid fund, but it’s difficult to get excited about it.

Mark Laidlaw | 04-08-09 | E-mail Article

We have published a new Morningstar Qualitative Rating and Research Report for MS INVF Global Convertible Bonds.

"Convertible bonds are designed to allow investors to participate in a measure of any equity upside while the bond floor is in place to offer a degree of capital protection. In theory this sounds like the best of both worlds; the reality, as shown in 2008, is a little different: while the asset class didn’t fall as much as equities, liquidity disappeared which made it almost impossible to trade and limited its effectiveness as an asset class."

The full four page pdf report can be accessed here. It is free to users of Morningstar.co.uk.

Mark Laidlaw is a fund analyst at Morningstar UK. He would like to hear from you, but cannot give financial advice. You can contact the author via this feedback form.
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