Investors are missing this key point about the bond market, top strategist says

Tim Seymour, founder and chief investment officer at Seymour Asset Management, said the market's defensive stance could even be an opportunity for ETF issuers looking to capitalize on investors' concerns.

"It's been the pain trade, and, obviously, we've had a question about the global growth environment, which has made it very comfortable for people to fly into fixed-income instruments," he said in the same "ETF Edge" interview. "It makes it so ... that the ETFs around that community do need to have greater access points for people to be investing in munis [municipal bonds] and triple-A credits that actually could be more defensive.

But high-yield investments still carry a good deal of risk, said Seymour, who also appears regularly as a trader on CNBC's"I'll tell you what: The JNK and the HYG, if we start to see any questions about the economy, liquidity dries up very quickly in high yield and I think they will move to the downside," he warned.

HYG and JNK were both down slightly following Wednesday's Fed decision. VYM was up less than 1%. TLT was up over 1%.

Sverige Senaste nytt, Sverige Rubriker

Similar News:Du kan också läsa nyheter som liknar den här som vi har samlat in från andra nyhetskällor.

The signals are ‘loud and clear’ — a new bull market is underway, strategist saysStocks just took out new highs, the Federal Reserve continues to pump money into the U.S. economy, equity valuations are looking rather toppy, and there’s an abundance of fear-peddling from Wall Street pundits. What’s all the noise mean? A bull market, according to Callum Thomas of Topdown Charts. Wait, didn't most of the MSM predict a recession and stock market crash is imminent? for sure its gonna sell of next few days I use your tweets as contra-indicator. Works well!
Källa: MarketWatch - 🏆 3. / 97 Läs mer »

A bear-market catalyst is lying in wait for stocks, warns UBSOur call of the day, from strategists at UBS, warns a big threat is lying in wait for equities: earnings expectations.
Källa: MarketWatch - 🏆 3. / 97 Läs mer »

Fed set to cut rates, GDP report, Apple earnings: 3 things to watch in Wednesday's marketsInvestors will brace for a slew of market-moving events on Wednesday with the Fed's rate decision, key GDP reading and earnings from Apple and Facebook. Iu
Källa: CNBC - 🏆 12. / 72 Läs mer »

Value investor Joel Greenblatt says this company could solve a key hurdle in esports' growthFamed investor Joel Greenblatt said he expects Vindex is in a position to meet the demand of the growing esports industry.
Källa: CNBC - 🏆 12. / 72 Läs mer »