Michael Hasenstab Finally Ends His Bet Against U.S. Treasuries
- Franklin Templeton manager previously said yields may top 4%
- Duration of flagship Global Bond Fund has turned positive
This article is for subscribers only.
Franklin Templeton’s star fund manager Michael Hasenstab has ended his painful bet that Treasury yields are bound to rise.
Filings this week showed that the Templeton Global Bond Fund’s average duration -- a measure of its sensitivity to interest rates -- turned positive for the first time since 2017 in the last three months. A person familiar with the matter who asked not to be identified confirmed the fund has tactically unwound its short position on Treasuries.