Five times a winner

Fidelity MoneyBuilder Income - Manager Ian Spreadbury:

Our corporate bond fund is UK-based but I'm not prepared to bet on which way interest rates are going. Individual stock selection is vital. We try to avoid bad credit risks - that has been crucial over the last year. And we hold index-linked securities, which would do well if prices started to rise. We have ?650m invested in the fund. A good bet and future return is Enterprise Inns - this could be one of our favourites. It's a pub investment firm funded partly through bond markets.

DWS Corporate Bond Plus Fund - Manager, Thu Ha Nghiem:

I expect this to be a growing asset class. I'm focusing on the bottom-up approach where we look at individual companies so we can avoid disasters. Then we're going for Asset Backed Securities - AAA top tier bonds backed by a mortgage portfolio. When you have securities buttressed by physical assets, such as property, you can feel more confident in turbulent times. One company we like is National Grid Transco (NGT) - it is regulated so we know exactly the income we'll get for the next five-year period.

L&G Fixed Interest - Manager, Stuart Steven:

Low levels of gilt yields mean there is a potential cap on capital gains, although we have recently added to holdings as a defensive move ahead of any war with Iraq. I would sell this into corporate bonds as pressures abate. I really prefer corporate bonds, where a mix of cheap valuations, robust demand, plus limited supply and a slow improvement in economic growth and company results, will provide support. I expect corporate bonds to outperform gilts by 1.5 - 2.0% over 2003, generating returns of around 7% to 8% Our sector selection focuses on banks - Barclays, HBOS and RBS - consumer products and retailers.

Britannic Corporate Bond - Manager, David Roberts:

Corporate bonds look set to produce flat returns as more gilts become available. So, over the coming year, total returns should be maintained around 5.5 - 6%, equating to the income paid. Looking further ahead, bond markets will continue to hold up well, with the remainder of the decade likely to be characterised by low growth and low inflation. The fund has a portfolio of around 120 stocks - one of the most diversified. Even with the best analysis in the world, accounting 'irregularities' is nigh on impossible. I'm a fan of British Telecom with utility-like cash flows and expectations for a ratings upgrade.

Henderson Long Corporate Bond - Manager, Mhairi Mackelworth:

I'm diversifying into safer names like Royal Bank of Scotland. I've been trying to take off riskier names from the fund. I sold Ahold because rating agencies were getting negative. Likewise, McDonalds used to be really popular at the long end of the market - the retail market loved them - but they've been down-graded by credit rating agencies after profit warnings. I'm strict about taking names like that out of this fund. I pick companies that have been trading cheaply like France Telecom.