Join our portfolio managers as they delve into the intricate landscape of interest rates and the bond market. In this episode of ‘Managing Your Money,’ we discuss the current and future trends of interest rates, the implications for the U.S. government debt, and the potential for quantitative easing and yield curve control. We also examine the historical context of bond performance, asset allocation strategies for different types of investors, and the ongoing challenges in the fixed-income market. Whether you’re a retiree or have a long-term investment horizon, this conversation is packed with insights and strategies to help navigate your financial future.
The commentary in this video is prepared by Pekin Hardy Strauss, Inc. (dba Pekin Hardy Strauss Wealth Management, “Pekin Hardy”) for informational purposes only and does not constitute investment, legal, tax, accounting, or other professional advice. The views expressed are as of the date of the video and are subject to change. Certain information contained herein has been obtained from third parties. While such information is believed to be reliable, Pekin Hardy assumes no responsibility for the accuracy of the information. The views expressed are those of the presenters as of the date of publication of this video and are subject to change at any time due to changes in market or economic conditions. The comments should not be construed as a recommendation of individual holdings or market sectors but as an illustration of broader themes. Pekin Hardy Strauss Inc. cannot assure that the type of investments discussed herein will outperform any other investment strategy in the future. The S&P 500 Index includes a representative sample of 500 hundred companies in leading industries of the U.S. economy, focusing on the large-cap segment of the market.
Table of Contents
00:00 Introductions
00:33 Discussing Interest Rates: Present and Future
02:04 Federal Reserve’s Role and Predictions
03:11 Debating Government Debt and Quantitative Easing
06:33 Powell vs. Trump: Interest Rate Dynamics
11:45 Investment Strategies: Bonds vs. Alternatives
15:25 Asset Allocation in Modern Portfolios
18:52 Historical Performance of Bonds
23:21 The Decline of Bonds: A New Era
24:31 Historical Context: Bond Performance Over the Decades
26:24 The Impact of U.S. Public Debt
27:58 The Future of Interest Rates and Bond Markets
34:33 Munis and Closed-End Funds: Anomalies and Insights
40:57 Global Debt Crisis: Causes and Consequences
45:45 Concluding Thoughts
