Channel 11 News host and DoubleLine Portfolio Manager Ken Shinoda welcomes DoubleLine Deputy Chief Investment Officer Jeffrey Sherman back to the show to discuss asset class performances since Mr. Sherman’s visit at the close of Q3 2021. Messrs. Shinoda and Sherman begin by looking at how their observations from What Now!? (S2 E3) panned out (1:09) in the fixed income, equities and commodities sectors. They begin their current review with a look at the macro environment (14:43), including GDP forecasts, economic surprise data (16:26), core CPI (21:22) and the Fed’s balance sheet (43:47). The two then take a deep dive into fixed income (46:28) and the volatility affecting the sector (50:32), with Mr. Sherman noting concerns about the Fed’s balance sheet plans. “Until we know what the Fed’s doing, the bond market is going to be super nervous,” he says. Messrs. Shinoda and Sherman then move to equities (1:03:23), where they maintain their support of the value trade and discuss what Mr. Shinoda calls “a pretty decent repricing” of stocks (1:09:12). They conclude with commodities (the real land of gains) (1:11:30) with talk of the challenges in the sector for individual investors and the nickel drama playing out on the London Metal Exchange. This episode was recorded March 18, 2022.
Mr. Shinoda joined DoubleLine at inception in 2009. He is Chairman of the Structured Products Committee and oversees the non-Agency RMBS team specializing in investing in non-Agency mortgage-backed securities, residential whole loans and other mortgage-related opportunities. Mr. Shinoda is co-Portfolio Manager on the Total Return, Opportunistic Income, Income, Opportunistic MBS and Strategic MBS strategies. He is also lead Portfolio Manager overseeing the Mortgage Opportunities private funds. Mr. Shinoda is also a permanent member of the Fixed Income Asset Allocation Committee, as well as, participating in the Global Asset Allocation Committee. In addition, he hosts DoubleLine’s “Channel 11 News” (Twitter @DLineChannel11, dline11@doubleline.com), a webcast series that provides market insights and commentary with peers and industry experts. Prior to DoubleLine, Mr. Shinoda was Vice President at TCW where he worked in portfolio management and trading. He holds a B.S. in Business Administration from the University of Southern California and is a CFA® charterholder.
Jeffrey Sherman, DoubleLine’s Deputy Chief Investment Officer, is a thought leader, portfolio manager and public speaker in the industry. Mr. Sherman is a member of DoubleLine’s Fixed Income and Global Asset Allocation committees, and he serves as lead portfolio manager for the firm’s multi-sector and derivative-based strategies. In his role, Mr. Sherman guides the investment teams in developing top-down macro views and collaborative asset allocation processes throughout a market cycle. Additionally, he is a member of DoubleLine’s Executive Management Committee. In 2018, Money Management Executive named Mr. Sherman as one of “10 Fund Managers to Watch” in its yearly special report. Prior to joining DoubleLine in 2009, Mr. Sherman was a Senior Vice President at TCW, where he worked as a portfolio manager and quantitative analyst focused on fixed income and real-asset portfolios. Prior to that, he was a statistics and mathematics instructor at the University of the Pacific and Florida State University. Mr. Sherman taught Quantitative Methods for Level I candidates in the USC/CFALA CFA® Review Program for many years. He holds a B.S. in Applied Mathematics from the University of the Pacific and an M.S. in Financial Engineering from Claremont Graduate University. Mr. Sherman is a CFA® charterholder.
