"A US federal investigation of Pacific Investment Management Company is the latest crack in the armour of the $US2 trillion Newport Beach fund giant, where a trustee recently questioned the $US200 million salary, “bullying” behaviour and “mediocre” recent performance of co-founder Bill Gross."
"Vimal Gor of BT Investment Management, Mercer?s top bond fund in 2014, is still backing bonds in a big way and he?s not ruling out a one per cent RBA cash rate."
"The hottest item going is a government bond, making it hard to know whether to laugh or cry."
"Records were made to be broken. There were plenty of headlines for new equity highs this week, particularly the first new record close in 15 years for the United Kingdom's FTSE 100."
"Bond investors face heavy capital losses on their holdings once inflation returns, says one of the world's most celebrated fixed-income managers."
"If a 10-year government bond bought today will return about 2.75 per cent, how can a managed fund made up of such tight-fisted securities return nearly 11 per cent in a year?"
"The RBA has done its best to explain the conundrum of the global bond market – characterised by ultra-low interest rates that are at odds with broader views on where the world is heading, writes Jonathan Shapiro."
"When investors are locking their money away for very little return, common sense would suggest the bond market is ripe for a massive correction. But there are plenty of reasons why that is not actually the case."
"A CLSA analyst who told investors to sell US mortgage securities before the subprime disaster says interest rates in Australia will be less than 1 per cent within two years and could even go to zero"
"Prolonged exceptionally low inflation or deflation in much of Europe or Japan remains a threat despite the recovery in oil prices, according to Capital Economics."
"Head of the world's largest fund manager has warned shareholders about an ever-expanding bubble in yield-paying assets, inflated by central bank liquidity measures."
Managing a share portfolio is hard, hard work. There are even professionals who are terrible at it. Managing a bond portfolio is harder, but the game is very different; you pay $100 to get $100 back at a set date, and every six months or so you get a coupon payment, be it fixed or linked to the cash rate.
"Australian bonds have been beating up on stocks for the past decade. That reign is under threat with the central bank scenting a turnaround in economic growth that would allow it to refrain from further interest-rate cuts."