Menu Close

Alternative Investments? Sovereign Bonds At Premium, Duration Climbing

Rising bond prices (premium) are spooking some investors as global bond yields plummet. The fear of a global slowdown/recession is spawning interest in alternative investments.

prembomds

As the 10-year Treasury yield drops, the duration of US Treasuries rises. On the other hand, the duration of Agency MBS is falling.

durationmbs.png

And with national home price growth declining to the lowest rate since the beginning of The Fed’s QE3, where do we put our money?

fedhouis

Firms like AQR offer products in the alternative investments sphere.

AAA Global Portfolio Space

 

Join the conversation and have a little fun at Capitalstool.com. If you are a new visitor to the Stool, please register and join in! To post your observations and charts, and snide, but good-natured, comments, click here to register. Be sure to respond to the confirmation email which is sent instantly. If not in your inbox, check your spam filter.

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.

RSS
Follow by Email
LinkedIn
Share

Discover more from The Wall Street Examiner

Subscribe now to keep reading and get access to the full archive.

Continue reading