Program and guest
Bloomberg Television’s The Asia Trade (approximately 8 minutes and 45 seconds), featuring Rick Rieder, BlackRock’s chief investment officer of global fixed income. This article covers Rieder’s entire interview.
Key points
(The following paraphrases the guest’s intended meaning; timestamp links point to the corresponding locations in the original video.)
- The yield on 10-year Treasuries is approaching 5%, yet they are not attracting much demand. (https://www.youtube.com/watch?v=ndm6oNJrmEY&t=3s）
- Investors do not necessarily have to hold 10-year Treasuries; staying at the front end of the curve can produce a portfolio yielding around 7%. (https://www.youtube.com/watch?v=ndm6oNJrmEY&t=50s）
- The 60/40 portfolio is somewhat outdated today; the front end of the curve and diversified sources of yield deserve more attention. (https://www.youtube.com/watch?v=ndm6oNJrmEY&t=102s）
- Secured single-A-rated bonds issued to finance technology have become an important part of portfolios, and bond issuance for GPUs and data centers is enormous. (https://www.youtube.com/watch?v=ndm6oNJrmEY&t=158s）
Background and notes
Subtitles cover the entire video (approximately 8 minutes and 45 seconds); this article covers Rieder’s entire interview.