UBP urges shift toward corporate debt as sovereign risks rise

• Union Bancaire Privee UBP urged investors to make corporate credit a core allocation as sovereign finances deteriorate and corporate balance sheets strengthen.
• Public debt has reached 100% of GDP since the pandemic, while corporate debt has fallen to 71%.
• Investment-grade yields stand around 5%, compared with an average of roughly 2.5% since the 2008 global financial crisis.
• Treasury volatility averaged 5.6% in 2020–2026, up from 3.6% in 2012–2019, underscoring increased interest-rate risk.
• A diversified multisector credit approach offers opportunities beyond investment-grade debt, where high interest-rate sensitivity leaves returns largely exposed to sovereign risk.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Union Bancaire Privee UBP SA published the original content used to generate this news brief on November 11, 2026, and is solely responsible for the information contained therein.