Sit's Doty says rates will rise, peak and shift downward by year's end
About this episode
Bryce Doty discusses the potential for interest rates to rise, peak, and then shift downward by year's end, emphasizing the importance of being in the right part of the curve.
Bryce Doty, Senior Portfolio Manager at Sit Investment Associates , says that "the worst is over as far as yields going up," noting that the next shift could be down, but he calls the conditions "tricky" and emphasizes that investors "need to be in the right part of the curve." Doty's case hinges on oil prices; if oil stays below $110, it's viewed as inflationary, but above that level "we have a problem, and so does the rest of the world." At that point, central banks will have to cut rates to "save economies from disaster." Doty, whose team manages $2.7 billion in closed-end fund-of-funds for separate accounts, likes two-year TIPS, municipal bonds and high-yield corporate bonds. He also discusses the IPO market, closed-end rights offerings and the quality of private credit investments.
More episodes of The NAVigator
- XA's DiBernardo on why worried investors should consider covered calls now
- Gold fund manager Merk on ASA's fight with activist investors
- Gabelli's Dreyer on why sports and value picks are an antidote to A.I. obsession
- CEF Data's Scott on the takeaways from Dechert's Private Credit Summit
- Landmark Supreme Court decision is a game-changer for investor activism
- In a tight-spread, higher-for-longer rate market, discounts matter again
Explore listener stats, chart rankings, contacts and more on the The NAVigator podcast page.