Kotok is watching the yield curve “like a hawk,” but he’s not worried about a downturn yet. He argued that the double whammy of tax cuts and government spending will be powerful enough to offset the Fed tapping the brakes on growth.
Active Equity Fund Managers Stuck in the Rough, While Active Bond Managers Tend to Stay on the Fairway Since the launch of the State Street Global Advisors S&P 500 exchange-traded fund (SPY) in 1993, passive, index-replication portfolio construction has been widely adopted and represents the common investing experience of John and Jane Q. Public. Passive […]
The bond markets have experienced a hiccup in the first part of this year, with the 10-year bond rising 45 basis points in yield, to 2.85% from 2.40%, and the 30-year bond rising 37 basis points in yield, to 3.11% from 2.74%. Our feeling is that these yields are rising in one measure to compete […]