Journal to portfolio afterlife

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https://twitter.com/x/status/1712431511570358401

 

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Il mio portafoglio, zeppo di rischio di credito obbligazionario e bassa duration, è in linea con questa corrente di pensiero.

A recurring theme of mine is that, even though many people agree that free markets do the best job of allocating resources, we haven’t had a free market in money in roughly the last two decades, a period of Fed activism. Instead, Fed policy has been accommodative almost the entire time, and interest rates have been kept artificially low. Rather than letting economic and market forces determine the rate of interest, the Fed has been unusually active in setting interest rates, greatly influencing the economy and the markets.

Will asset ownership be as profitable in the years ahead as in the 2009-21 period? Will leverage add as much to returns if interest rates don’t decline over time or if the cost of borrowing isn’t much below the expected rate of return on the assets purchased? Whatever the intrinsic merits of asset ownership and levered investment, one would think the benefits will be reduced in the years ahead. And merely riding positive trends by buying and levering may no longer be sufficient to produce success.

In early 2022, high yield bonds (for example) yielded in the 4% range – not a very useful return. Today, they yield more than 8%, meaning these bonds have the potential to make a great contribution to portfolio results. The same is generally true across the entire spectrum of non-investment grade credit.

The difference between the sources of return on stocks and bonds is profound, something many investors may understand intellectually but not fully appreciate.

Further Thoughts on Sea Change

www.oaktreecapital.com

 

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Il portafoglio recupera qualcosa rispetto al benchmark ed il valore aggiunto torna al 3% circa.

 

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https://twitter.com/x/status/1712446354864124080

 

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https://twitter.com/x/status/1712340419428712579

 

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https://twitter.com/x/status/1712471584928362976

 

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https://twitter.com/x/status/1712486972244349261

 

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https://twitter.com/x/status/1712460954460406026

 

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Giusto per non farsi mancare nulla ...

Siria: «Raid di Israele su aeroporti di Damasco e Aleppo». Colpiti depositi di armi iraniane. L'Iran esorta l'Islam a unirsi per la Palestina

Alta tensione in Medio Oriente. Non solo Israele e Hamas (con Hezbollah, Iran e Qatar sullo sfondo), nelle ultime ore il conflitto sembra esserci allargato anche alla Siria. I media locali,...

www.ilmessaggero.it

 

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The United Nations says that more than 423,000 people have now been forced to flee their homes in Gaza due to the Israeli military onslaught against the besieged enclave.

Iranian Minister of Foreign Affairs Hossein Amir-Abdollahian said if Israel’s bombardment of Gaza continues, the war may open on “other fronts” – an apparent reference to the Lebanese group Hezbollah.

Move 1 million from northern Gaza in 24 hours, Israel tells UN

UN says any movement could have “devastating consequences” and comes as fears of an Israeli ground operation rise.

www.aljazeera.com