M&G's Leaviss: Will Yellen commit to a second term?

Trump favours her low rate policy

Laura Dew
clock • 2 min read

M&G's head of retail fixed interest Jim Leaviss has described how US Treasuries are looking cheap for the first time in years, but are dependent on the future actions of Federal Reserve chairman Janet Yellen.

Leaviss is manager of several M&G bond funds including the £1.6bn Global Macro Bond fund. He highlighted 10-year US Treasuries as a good asset to hold but said it would all depend on the Fed's "dot plot". "10-year US Treasuries are looking interesting for the first time in a very long time, they are cheap if the Federal Reserve dot plot is to be believed." Having hiked rates in March, its third since December 2015, the Fed has said it could raise rates twice more this year. The most recent dot plot indicates US rates are likely to be 1.3% in 2017, 2.1% in 2018 and 3% in 2019. ...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Bonds

Federated Hermes launches Global Short Duration Bond fund just as asset class booms

Federated Hermes launches Global Short Duration Bond fund just as asset class booms

Responding to ‘increased investor demand’

Eve Maddock-Jones
clock 25 June 2025 • 2 min read
Fixed income investment set to rise as bonds hit double digit growth in asset allocation

Fixed income investment set to rise as bonds hit double digit growth in asset allocation

Assets in fixed income up 11%

Patrick Brusnahan
clock 19 June 2025 • 3 min read
US GSS bond issuances falls to lowest level since 2017

US GSS bond issuances falls to lowest level since 2017

Down 25% amid political turmoil

clock 13 May 2025 • 3 min read
Trustpilot