Templeton's Global Bond Fund Doubles Down on Its Bearish Rate Bet
- Global bond fund cuts duration to record low of -0.85 years
- Call defies advice from Morgan Stanley rate strategists
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Michael Hasenstab’s contrarian bet against U.S. Treasuries just got even bigger.
The Franklin Templeton money manager, known for staking big chunks of his portfolio on conviction trades, has reduced average duration in his $38 billion flagship Global Bond Fund to a record low. The position protects against a spike in bond yields, an event Hasenstab has been predicting since at least 2016.