From Seekingalpha · WisdomTree · · 40s
Investing In A 5% Bond World
How to invest in a 5% bond market with a barbell approach.
In brief
How to invest in a 5% bond market with a barbell approach. Investors can pair a zero-duration fund with a core-duration vehicle to access a 5% bond environment. Originally reported by Seekingalpha.
Long-term yields
Good growth, sticky inflation, policy uncertainty and Treasury/AI-related supply are likely to keep long-term yields elevated for the foreseeable future.
10-year Treasury yield range
The 10-year Treasury yield could trade between roughly 4.50% and 5.25% in the near term, with the range skewed toward the upper end.
Barbell investment strategy
Investors who want exposure to a 5% bond environment can pair a zero-duration fund with a core-duration vehicle in a barbell approach.
At a glance
Investors can pair a zero-duration fund with a core-duration vehicle to access a 5% bond environment.
