The COVID-19 pandemic is taking its toll on the global economy as countries shut down activity at a historic pace. The impact is hard to quantify a priori but will no doubt leave a large dent in its wake. Governments … Read More
Corporate-debt investors have never received this little yield for taking additional duration risk.
At this point, few superlatives are left to describe how historically expensive the bond market looks. The 30-year Treasury yield is just a few months removed from an … Read More
If 2018, as dubbed by Jeffrey Gundlach, was a “don’t lose money year,” 2019 can rightly be characterized as the opposite with a broad rally in risk assets globally. Coming off the elevated volatility in the last few trading days … Read More
Heading into 2020, we believe securitized products appear attractive relative to U.S. Treasuries (UST) and corporate credit. After a year of strong performance from investment grade corporate credit, which returned 13.80%, as measured by the Bloomberg Barclays U.S. Credit Index, … Read More
By way of metaphor, consider the smart phone. When smart phones were introduced, they brought together pre-existing technologies. Rather than inventing the cellular telephone, the calculator, the digital music player, the digital camera, e-mail or GPS navigation, smart phones packaged … Read More
The yield is the sum of the equivalent Treasury yield plus the spread over that Treasury yield. The yield on the asset class is near all-time lows, hovering below 3 per cent. The rate component is simply the nominal government … Read More
How is the DoubleLine Total Return Strategy similar to the Benchmark? Why does the team prefer mortgage credit?
When Mr. Gundlach started the Total Return Strategy over 30 years ago*, it came as a result of observing that it was potentially … Read More
News that Hong Kong Chief Executive Carrie Lam has formally withdrawn the extradition legislation that sparked mass protests in the territory must be viewed with caution. The aims of the 13-week long protest movement in the territory have broadened beyond opposition … Read More
Fixated on Federal Reserve interest-rate policy, the risk markets could be missing 90% of the monetary iceberg: the Fed’s $3.8 trillion balance sheet and the more than $3.3 trillion U.S. money market. A decade ago, the central bank embarked on … Read More
On July 8, 2016, the yield on the 10-year Treasury note traded at an all-time low of 1.36%. With the subsequent move higher in rates since, this date in 2016 appears in retrospect to have heralded the end of the … Read More