Fixed Income Perspectives — November 2023
November 17, 2023 — This presentation provides an overview of our market outlook and key themes, and it illustrates how Sage is positioned in the current environment.
Key Themes
- Waiting on the Lag — “Higher for longer” raises medium-term economic risks; we have not felt all the effects of aggressive tightening.
- Credit Risk vs. Rate Risk — A challenging economic outlook, yield cushion against any further hikes, and unfavorable valuations in risk assets make rate risk the less worrisome risk.
- Liquidity Drought — Issuance and quantitative tightening will keep a bias toward shrinking liquidity.
Featured Insights
Fixed Income
Fixed Income Investment Strategy — November 2023
November 17, 2023 -- Fixed Income Investment Strategy provides an overview of Sage's market outlook and sector positioning. . . .
Fixed Income
Money Moves: What Policy Means for Markets
November 6, 2023 -- With the near-term risk of Treasury issuance receding, a Fed that is increasingly focused on an economic slowdown, and . . .
Fixed Income
Trick or Treat for Mortgage-Backed Securities?
October 31, 23 -- Now that the Fed is largely done with rate hikes and MBS valuations are at their cheapest in years, we believe the risk/reward for MBS is solid . . .