Not exact matches
Also, a
bond fund is only going to have so much cash on hand, so if the investors in a certain fund all
want to redeem their shares of the fund at the same time, it will pose problems for the fund
manager trying to meet redemption requests.
Given the whipsaw that I experienced in 2002 when the ratings agencies went from long - to short - term, I can tell you it did not add value, and that most
bond manager that I knew
wanted stability.
Then negotiation starts... and you can read about more this in my «Education of a Corporate
Bond Manager» series... I know most here
want to read about stocks, so...
Many
bond managers like to own RMBS for its high credit quality, liquidity, and attractive yields, but the problem is this: when interest rates move, the RMBS does what you don't
want to see happen.
Then negotiation starts... and you can read about more this in my «Education of a Corporate
Bond Manager» series... I know most here
want to read about stocks, so...
@Jerry, I agree that today the main risk in
bonds is duration risk (AKA interest - rate risk)-- last weekend's Barron's has an interview with the UBS Wealth Management top
managers pointing out this means convincing investors to switch from Treasuries and investment - grade corporates to well - selected junk (HYLD is a jewel there — DO N'T go for index funds in
bonds, very differently from ones in stocks they make no sense... where's the sense in
wanting to lend more to companies which are more indebted?!
But here's where the debate starts to heat up: Though your financial adviser would have kittens at the thought of it, Bernstein and others, such as Stephen Jarislowsky, the billionaire Canadian money
manager, say that if you plan to hold a large sum of money outside of an RRSP for a long period of time, you may indeed
want to ditch the
bonds altogether and go 100 % stocks.
Long - term
bonds fall the most in price for a given rise in interest rates and a
manager would
want to hold treasury bills.
Since long - term
bonds change the most in value for a given change in interest rates, a
manager would
want to hold long - term
bonds when rates are falling.
The fund's largest holdings include the usual suspects — government
bonds, a couple of ETFs (Canadian Dollar hedged, of course), and banks that aren't Bank of Montreal, because apparently this fund
manager WANTS to get fired.
When I was a
bond manager, I would lend to the uppermost holding company, knowing that the stockholders did not
want to hand their profitable company over to me.
If I
want to buy a
bond fund
manager, ART or LM are much cheaper.
Given that long - term
bonds change the most in value for a given change in interest rates, a
manager would
want to hold long - term
bonds when rates are falling.
2) I
want to find the guy (s) who taught me when I was a young and impressionable mortgage
bond manager (age 38, I came to the game late) that swap spreads could not go negative; sorry, it ain't true.
We
want to relieve the veterinary professional of the burden of management and create systems for
managers and veterinarians to focus on developing their business and building
bonds with team members and the community they serve.»
The Greek
bond of fraternity brothers or sorority sisters may be enough to get a hiring
manager to
want to help you.