tag:blogger.com,1999:blog-6616959642391988608.post8645320103637927884..comments2024-03-28T00:18:25.641-07:00Comments on Calafia Beach Pundit: $1,000,000,000,000 of stimulus?Scott Grannishttp://www.blogger.com/profile/14028519647946868684noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-6616959642391988608.post-62339681230130465232008-12-15T15:52:00.000-08:002008-12-15T15:52:00.000-08:00The fixed-income market is chock-full of opportuni...The fixed-income market is chock-full of opportunities. Credit spreads are extremely wide in general, reflecting fears of massive bankruptcies. Investment grade corporate bonds have an average spread of 610 bps over Treasuries, for a yield of 8.2%. That yield has been declining recently, with the result that IG bonds have returned over 2% so far this month.<BR/><BR/>High yield bonds are Scott Grannishttps://www.blogger.com/profile/14028519647946868684noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-27302851500102239062008-12-15T14:11:00.000-08:002008-12-15T14:11:00.000-08:00The Ireland example bears repeating, ...'til "He" ...The Ireland example bears repeating, ...'til "He" gets it, perhaps.pcpb participanthttps://www.blogger.com/profile/08553629249076601149noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-27248436064844200722008-12-15T11:19:00.000-08:002008-12-15T11:19:00.000-08:00Scott, Thanks for the reply. Assuming that risk pr...Scott, <BR/>Thanks for the reply. Assuming that risk premiums gradually will be returning to normal, are there any areas of the fixed income market that one should especially focus on now? I know you've been suggesting TIPS, but I'm thinking hi-grade intermediate corporates, any thoughts on a particular vehicle would be most helpful, looking for high quality holdings, tight bid/offer spread, jjhttps://www.blogger.com/profile/00382970468577051096noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-65372192252255642572008-12-14T23:41:00.000-08:002008-12-14T23:41:00.000-08:00The NYT is correct in saying that this has been a ...The NYT is correct in saying that this has been a godawful time for active bond market managers--indeed, it's hard to imagine anything worse than what we've seen in the past year or so. It's hard for the layman to understand exactly why it's been so bad, so let me try to explain.<BR/><BR/>In order for a bond manager to have performed well in the past year or so, he would have had to have had Scott Grannishttps://www.blogger.com/profile/14028519647946868684noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-22790801958041869272008-12-14T16:24:00.000-08:002008-12-14T16:24:00.000-08:00Scott, Great post as always, I'm wondering if you ...Scott, <BR/>Great post as always, I'm wondering if you saw the NY Times article this weekend on the carnage in the bond fund industry, they mentioned WAMCO and a few others.. Wonder what your take is and if you think the Times is giving us the straight skinny on this? Thx.jjhttps://www.blogger.com/profile/00382970468577051096noreply@blogger.com