In 2012, The fixed-income market enjoyed a rapid growth. Bond yields went up marginally. But the expansion of credit bonds and down-trend yields (especially lower-rating bonds) are shining spots. For outlook of 2013, we examine the economic recovery, inflation, monetary and fiscal policy and institutional building. Overall, all investors will continue to pay close attention to the fixed-income market but we are cautiously optimistic about it because of the low yields. Policy factors and events may become important forces in the fixed income markets. <<