With the recent development of the European debt crisis, traditional index bond management has been severely called …-budgeting approach is the most appropriate scheme to manage sovereign risk in bond portfolios and gives very appealing results with … respect to active management of bond portfolios …

market, private benchmarks long ago displaced government benchmarks. In the bond markets, evidence from organised exchanges … government bond futures to private interest rate swaps. The global financial crisis seems only to have interrupted this process … in the US dollar bond market, the European sovereign bond strains may have accelerated it in the euro bond market; and …