Canyon's Bond Portfolio "Void Of Duration" As Concerns ExistMark Melin
Bond fund manager looks towards industries with regulatory uncertainty for higher yield
It might be a difficult time to be a bond investor with a long mandate along the yield curve. The past twenty years have seen one of the most persistent bull market trends. But now, with ten year note yields at historic lows, the coming bond market could define the winners and losers unlike a bull market would.
Volatility in bond markets, as witnessed on October 14, 2014 and on display over the past month, can be a more difficult trading environment than what has been a generally slow and deliberate price moves higher, yields lower over the past 20 years.
Consider the yield on the ten year note over the past month and recognize the difficult market in which bond managers are asked to deliver performance. In one month, the ten year yield moved from 2.2 percent to a low of 1.7 percent and then quickly turned around to recover back to near 2.2 percent yield again over the course of 20 trading days.
This content is exclusively for paying members. Access all of our content on including years of timeless investment news and in depth analysis for only a few dollars a month by signing up here while also supporting quality content and journalism, or learn more about our premium content here
If you are subscribed and having an account error please clear cache and then cookies if that does not work email firstname.lastname@example.org and we will get back to you as quick as humanly possible