As Markets Plummet, Go-Anywhere Bond Funds Rise to the Occasion

 As interest rates have continued to climb today’s bearish market, the non-traditional bond funds have gained 0.6% this year.   Source: Bloomberg Created after the financial crisis to prosper on rising interest rates, the funds instead have bumped along for years amid persistently low borrowing costs. But as rates have climbed in today’s bearish market, go-anywhere bond…

Read More

Rates are shooting higher on inflation fears, 10-year yield its highest in nearly 4 years

 The yield on the benchmark 10-year Treasury note surged to 2.727 percent on Monday, its highest since April 2014, as investors bet on an accelerating economy and inflation. Source: CNBC A falling dollar this month has also helped drive yields higher, as traders worry it may reduce the appetite for Treasurys, while also boosting inflation. The 10-year yield…

Read More

Bond bear market? Not if pension funds can help it

 Pension funds are in bonds for the long haul, and aren’t swayed by weekly or monthly price fluctuations. Source: The Globe and Mail The death of the bond market bull run has been greatly exaggerated. The life-savers are pension funds, whose demand for long-term fixed income assets could reach record levels this year – and, counterintuitively,…

Read More

The Robots Are Coming for the Bond Market

 The Overbond platform is featured in this Bloomberg article that highlights digital platforms alike as an unstoppable force that will continue to change the financial industry. Source: Bloomberg In the corporate-bond market, even a few billion doesn’t get you a seat at the table. And Najib Nakad is so tired of settling for the scraps left…

Read More

Beware the $500 Billion Bond Exodus

 The great on-shoring could prompt multinationals — which have parked much of their overseas profits in Treasuries and U.S. investment-grade corporate debt — to lighten up on bonds and use the money to goose their stock prices.  Source: Bloomberg For years, the likes of Apple Inc. and Microsoft Corp. have stashed billions of dollars offshore to slash their…

Read More

Watch the bond market, not equities

 Despite the US Federal Reserve raising rates five times this year, bond prices have stayed high which has kept the long-term yields low. Source: Financial Times The head of a leading western central bank predicted that his job would soon be akin to flying a plane. The goal was to deliver such a smooth glide path…

Read More

Overbond named the most innovative third-party technology vendor (Front office) at the American Financial Technology Awards

 Overbond’s proprietary technology and defined strategy has led them to be named the winner of the most innovative third-party technology vendor (front office) at the AFTAs 2017. Source: waterstechnology Front-office technology platforms might be working hard to address demands for greater holistic functionality, but when there’s a specific challenge to tackle—the digitization of the corporate and…

Read More

Bond yields are an even bigger market risk than bitcoin, according to a Wall Street strategist

 Joe Zidle, a portfolio strategist at Richard Bernstein Advisors, believes that investors are going into 2018 assuming that rising bond yields — which move inversely of prices and affect consumer borrowing costs — will stay low. Source: CNBC Forget bitcoin — the biggest risk to stocks next year will actually be the bond market. That’s…

Read More

The Decade in Fixed Income Trading

Fixed income has been one of the more evolving market structures over the past 10 years, with electronic bond trading growing from 51% in 2007 to 84% today. Source: Markets Media Fixed income has been one of the more evolving market structures over the past 10 years, as institutional agita over liquidity gaps has prompted widespread efforts…

Read More