Markets ‘Misinterpreting’ Fed, Warns Manager Shunning Treasuries
- Eaton Vance fund outperforms 97% of peers in past three years
- Manager Szczurowski sees rate hikes this year, lifting yields
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In a world calling for investors to load up on U.S. Treasuries, this money manager is going the other way.
Eaton Vance Management’s Andrew Szczurowski, whose government bond fund has outperformed 97 percent of peers in the past three years, is underweight duration as he isn’t buying into the widely prevalent market view that the Federal Reserve is done hiking interest rates for now. For him, factors supporting U.S. government bonds, such as trade wars and disappointing data, should start to fade in the second half of this year.