Faced with unprecedented market conditions, investors need to think differently about how they are investing for income.

Franklin Templeton believes the investment environment during 2023 promises to provide much greater potential for yield and total return than we saw at the turn of 2022. In our analysis, locking in attractive yields through duration is the best way to achieve income goals, while investing in fixed income assets at attractive prices should deliver robust returns if rates fall and spreads narrow due to looser Fed policy.