However, bonds in themselves are causing jitters among investors, who are worried about losing money if the bond market deflates.

This means that strategic bond funds are becoming more popular. They allow a greater array of bond products, and this includes high-yield bonds.

This category of fixed income has become more respectable in recent years, not least because so many more assets are deemed to be “high yield”.

As outlined in the feature by Konstantin Leidman and Michael Scott, high-yield corporate bonds are less sensitive to movements in the price of government bonds, a bubble which many think will burst, and therefore high-yield bonds may be considered to be safer. Despite investors being paid a premium for the assumed risk associated with high-yield bonds, experts do not believe there is a great danger of default.

As Andy Gadd points out, it is a good idea to buy into a fund with a flexible mandate, so that a manager can respond to events quickly. Strategic bond funds allow a manager to invest in high yield, investment grade and gilts as and when needed.

Melanie Tringham is features editor of Financial Adviser

This special report is published in association with Aberdeen Asset Management. For fund information, click here.