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Where the risks and opportunities are

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'Negative yields across a swathe of euro area government bonds will clearly result in distortions but with no near-term end to ECB QE in sight, they are likely to persist.' - Wei Shang-Jin
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'We are in uncharted waters. It remains to be seen how investors will react in a rising interest rate environment.The monetary tightening cycle has not started from such a low point since the 1930s.' - Hung Tran
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'With 2 per cent nominal yields, US 10-year Treasuries are the mature economy equivalent to high yielders in comparison to Japan or European government paper.' - Kenneth Courtis
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'I would argue that the US is more overstretched than Europe, which is in a different part of the economic cycle and being helped by its QE-induced weaker currency.' - William Thomson
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'The biggest risk I see is a currency devaluation from China. The yen has already depreciated almost 50% against the renminbi and if Chinese unemployment starts to rise, surely the Chinese policy makers may be forced to try and kickstart their exports by devaluating the renminbi.' - Jesper Koll.

LEADING equity markets are touching all-time highs and bond yields record lows while warnings are being sounded that investors are "flying too close to the sun" - which could melt their wings and send them crashing to earth. BT asked its panel of international financial experts to advise on