Description: U.S. bond markets have undergone dramatic changes due to the 2008 Global Financial Crisis (GFC) and the COVID-19 pandemic. In taking a retrospective view, we can see that bond markets, viewed through the lens of major bond indices, have been evolving for quite some time. Within this paper, TD Asset Management Inc. (TDAM) will explore underlying changes that have occurred within the U.S. Corporate Bond Index, a sub-component of the larger U.S. investment grade bond market, over the past decade. We will highlight key structural changes that have occurred within bond markets and why they are noteworthy

Description: The investment grade corporate bond market continues to expand in size and is now nearing record levels. The Bloomberg Barclay’s U.S. Corporate Bond Index, representative of the U.S. corporate bond market, now measures over $5 trillion, nearing its all-time high compared to its $2 trillion mark in 2008. The BBB-rated segment of the index has experienced significant growth, and now represents more than 50% of the corporate bond market. Corporate bond market risk has increased beyond what the ratings indicate. Today's investing landscape of relatively low yields, higher corporate leverage and a later-stage credit cycle presents challenges for both insurance and pension portfolios where corporate bonds are a core investment. <br> <br>With representation from a U.S. portfolio manager, Canadian portfolio manager and an investment consultant, attendees will get a full perspective of the North American environment and how to apply this information when making client recommendations.