Gartside said along with opportunities in Japan he is looking towards Australian government bonds, local emerging market debt - particularly in Mexico and Indonesia  - and in selective US non-agency mortgages.

“While anaemic recovery looks likely to continue, the environment is strong for fixed income, especially as we know cash rates won’t move for a couple of years. Those that succeed will be nimble bond managers with interests in high yields, and I suspect investors will be surprised at the returns they can achieve,” he said.

In the UK market, debt and growth are major issues, and since 2005 debt has ballooned; Gartside said there is still a long way to go in tackling underlying economic issues.