Not exact matches
Franklin has been managing tax - free income funds for nearly 40 years, utilizing a team of 32
investment professionals which offers, in our
view, an expert perspective
on the municipal
bond market.
«In our
view this is probably a generational opportunity for high quality corporate
bonds and provincials and federal agency
bonds,» says Scott Lamont, head of fixed income at Phillips, Hager & North
Investment Management Ltd., and manager of the firm's
bond fund, a top - rated performer
on the MoneySense Best Mutual Funds Honor Roll.
Here's where it's interesting: From the IRS's
view of the world, the only
investment return they consider is the yield
on Treasury
bonds.
But then, even Marks gets snagged by the «hook» — basing his
view of stock valuations
on «projected earnings for the year ahead,» and the corresponding «earnings yield» compared with the yield
on bonds (see
Investment, Speculation, Valuation, and Tinker Bell for an extensive historical perspective
on this metric, compared with far more reliable models).
WHEN YOU SETTLE
ON YOUR PORTFOLIO»S split between stocks and conservative
investments, you should take a broad
view of your finances — and factor in the many parts of your financial life that look suspiciously like
bonds.
Our research
on the Fundamental Index ® concept, as applied to
bonds, underscores the widely held
view in the
bond community that we should not choose to own more of any security just because there's more of it available to us.10 Figure 9 plots four different Fundamental Index portfolios (weighted
on sales, profits, assets and dividends) in
investment - grade
bonds (green), high - yield
bonds (blue) and emerging markets sovereign debt (yellow).11 Most of these have lower volatility and higher return than the cap - weighted benchmark (marked with a red dot).