US Treasuries
A negatively yielding bond violates a very basic, fundamental principle: the time value of money.
The golden age of fixed income is over. That means we have to rethink portfolio management and risk control.
Why do investors keep investing in government bonds despite extremely low yields?
“Most people tell me that long-run equity valuation data is meaningless," says Russell Napier. "I think they’re wrong.”
The author investigates Thomas Malthus’s theories of secular stagnation and uses his findings to shed light on the sluggish growth and lethargic employment rates that have recently plagued the US economy.
Joachim Klement, CFA, demonstrates a method for beating average hedge fund returns — without the fees. It's the best dumb alpha can offer: a simple, low-cost investment strategy that outperforms more sophisticated and expensive alternatives.
Gains and losses are the product of human behavior, driven by greed, fear, and sloppiness, with an accelerator of leverage thrown in to shorten the terminal period. This is the way it has always been and probably always will be.
In this video, Jim Grant of "Grant's Interest Rate Observer" offers an economic history of the world, discusses the odds of a new financial crisis, and evaluates Puerto Rico as an investment opportunity.
Observant readers will have noted that various sell-side researchers and other market commentators have mentioned “convexity hedging” as something that could exacerbate a selloff in UST rates. Here I take a high-level look at what convexity hedging is and how it affects the UST market.