Loading…
Loading…
In late October, VettaFi hosted an interactive virtual event featuring market leaders from State Street Investment Management, Janus Henderson, and Horizon. During the presentation, advisor sentiment polls revealed a decisive shift in how many are approaching their fixed income allocation.
Bonds are paying the best yields in years and still dragging portfolios into the red, leaving investors scrambling for a defensive asset that actually defends. A growing group of Wall Street managers thinks the answer involves shorting Treasuries outright.
U.S. bond yields are rising, providing an increasingly attractive alternative to pricey stocks. Trump's unorthodox policy may be causing this trend to accelerate.
The global competition for capital remains the key dynamic keeping yields elevated. Notably, all of the September increase in 10-year Treasury yields came from real yields, as implied by the TIPS market.
September's fixed income sell-off marked a watershed moment for muni bond markets, delivering the steepest drawdown since the 2008 Great Financial Crisis. As benchmark yields spiked, prices across muni ETFs fell in tandem, and the volatility has not let up.
Japan, Europe, and the U.S. were feeling the fallout from France, where yields on its benchmark 10-year note climbed closer to 5%, the highest since 2002.
Municipal bonds just sold off hard over the last month, and many big-yield muni-bond CEFs (with yields over 8%) sold off even harder. This article shares data on 5 top big-yield muni-bond CEFs, with a special focus on the Nuveen Quality Municipal Income Fund. After explaining the selloff, big risks, and tax consequences (particularly related to anyone receiving Medicare or Affordable Care Act subsidies), the article concludes with a strong opinion on investing.
Rolling coverage of the latest economic and financial news