What’s in the news:
In a recent interview Blackrock’s Global Chief Investment Officer of Fixed Income, Rick Rieder, was asked a series of questions surrounding the election, his views on the biggest risks in the bond market, and his thoughts on where to invest. The snippet below caught our eye…
Source: Market Insider
What are we thinking?
As an income investor, we attempt to offset the price risk of rising interest rates by counterbalancing longer maturity investments with shorter maturity issues. Our shorter maturity issues are scheduled to approach maturation just as the Federal Reserve is expected to raise interest rates, providing a more attractive landscape to invest in. Taking Rieder’s advice to hold short and intermediate maturity rates over the coming quarters is a fundamental part of Roosevelt’s recipe for income.
Managing credit quality and duration as well as diversifying your portfolio with premium bonds can lead to higher yields, reduced price volatility and stability in rising rate environments. Blending intermediate and short term investment grade corporate bonds with fixed and fixed to floating rate investment grade preferred securities guides us in increasing portfolio income.
This information is intended solely to report on investment strategies and opportunities identified by Roosevelt. Opinions and estimates offered constitute our judgment and are subject to change without notice, as are statements of financial market trends, which are based on current market conditions. This material is not intended as an offer or solicitation to buy, hold or sell any financial instrument. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. Please contact us at 646-452-6700 if there is any change in your financial situation, needs, goals or objectives, or if you wish to initiate any restrictions on the management of the account or modify existing restrictions, or if you would like to request a copy of our Code of Ethics. Our current disclosure statement is set forth on our Form ADV Part II, available for your review upon request, and on our website, www.rooseveltinvestments.com.
Past performance is not a guarantee of future results. Indices are unmanaged and cannot accommodate direct investment. Themes assigned as per Roosevelt Investments’ evaluation. Risk tools may include cash or other securities that we believe possess a low or inverse correlation to the overall market.
INVESTMENT PRODUCTS: NOT FDIC INSURED • NO BANK GUARANTEE • MAY LOSE VALUE