Channel 11 host and DoubleLine Portfolio Manager Ken Shinoda runs down the markets for March, a month, Mr. Shinoda feels, that everyone is glad is over. He checks in on equities (00:44), with the Nasdaq and S&P 500 up, and fixed income (3:31) up across the board except for CMBS. Mr. Shinoda also looks at Treasury rates (5:07) followed by the market’s outlook for the terminal rate (6:09) and the implied forward curve of the federal funds rate (7:04).
He then turns to what happened with Silicon Valley Bank (10:44), looking at the deposit flight from regional banks to larger banks and then elsewhere (15:24), and the government’s response to the banking crisis (18:07). “I think this event really turned me more bearish than I had been,” Mr. Shinoda says of the crisis. “I think this event was a big turning point. And the bond market is agreeing.”
The episode, recorded April 4, 2022, wraps with CMBS taking the spotlight in What Looks Cheap (26:22).
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, firstname.lastname@example.org), 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.