Invest in bonds of countries tethered to inflation, says Allspring's George Bory on diversification

• Diversify bond portfolios beyond the U.S. to include global government bonds and emerging markets for extra yield and risk diversification.
• Consider short to intermediate duration global government developed market bonds, especially in countries with central banks focused solely on inflation.
• Increased investor interest is noted in European investment-grade and high-yield bonds, viewed as a quality-posturing move outside U.S. borders.

The discussion focuses on rethinking bond diversity, advocating for global diversification beyond a U.S.-centric approach. Experts suggest adding global government bonds and emerging market bonds to portfolios to gain extra yield and diversify risk by leveraging different central bank policies and inflation dynamics. European investment-grade and high-yield bonds are highlighted as attractive.