Video: Mitigating Risk with Absolute Return Bond Investing

Bill Eigen, CIO of Absolute Return and Opportunistic Fixed-Income Investing for J.P. Morgan Asset Management, explains his investment philosophy in this video: “Absolute return” should mean “mitigating risk.”

“Right now, we’re almost at a crossroads in fixed-income, because we’re at among the lowest levels of risk premium that we’ve ever seen.” The investment world has changed, perhaps irrevocably, and that’s why the traditional “60/40” portfolio strategy has lost its effectiveness.

As an absolute-return manager, Mr. Eigen says he focuses on multiple strategies. “We’ll be long when we’re paid to be long.”

Add a Comment

Your email address will not be published. Required fields are marked *