Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.
Support MFO
Donate through PayPal
DoubleLine Launches Gundlach-Managed Global Bond Fund
FYI: (This is a folow-up article) DoubleLine Capital, the $85 billion investment firm run by its chief executive and chief investment officer, Jeffrey Gundlach, said it opened the DoubleLine Global Bond Fund to investors on Monday. Regards, Ted http://www.reuters.com/article/us-funds-doubleline-gundlach-idUSKCN0UP1K020160111
Fund Symbols: I shares (DBLGX) and N shares (DLGBX)
Mr. Gundlach will be discussing the economy, the markets and his outlook for what he believes may be the best investment strategies and sector allocations 2015.
From citywire: ‘A little more dovish on the minutes is favorable for non-dollar on the margin,’ Gundlach told Citywire Americas in New York.
And today from a Fed Member Markets | Mon Jan 11, 2016 9:55pm EST Fed's Kaplan: four hikes not a sure thing in 2016 Dallas | By Ann Saphir
"This is an unusual start to the year, obviously," Robert Kaplan, the Dallas Fed's new president, told reporters after a talk here.
Concern about slowing growth in China roiled world markets in August and forced the Fed to hold off raising interest rates in September. This year has started off with global markets again rocked by plunges in Chinese stock markets, a fall in the yuan and subsequent heavy intervention by the Chinese authorities to push the yuan back up.
"We went through this in August and September, we paused, we watched, we let events unfold, which is the right way to handle it, and we saw ultimately that underlying economic conditions remained intact and solvent," Kaplan said.
"There's no substitute for time in assessing economic data as it unfolds," Kaplan told reporters.
Kaplan said he is not sure there will be enough economic data before the Fed's next policy meeting in late January to justify raising rates then, but "between now and March I think there will be."
Will be interesting to see how this new fund fares. The first 6-12 months' performance may not mean much if there is a lot of cash, which is typical for most new funds. Timing, as they say, is everything, especially with currencies.
@Crash Yes, hasn't DLFNX been a pleasant surprise? I expected more volatility. As for this offering, I've grown a little partial to my PRSNX, too, and just did some rebalancing into it to get my ave. share cost down, so I'm gonna watch and wait. As BobC correctly surmises (IMO), it's gonna take a couple of years to see if it's a winner, anyway.
Frankly, I'm much more interested in the upcoming infrastructure debt fund, although I was disappointed to learn, after reading the entire SEC filing, that it may not be possible to purchase retail shares via a direct investment with DoubleLine. I hope they change their mind about that before the fund launches. Maybe they are anticipating a relatively low demand? I can't explain it.
So, you're expecting a couple of years to go by, before PRSNX produces? I've not been in very long, and it's below the break-even line for a year, but the 5-year result is not terrible, at 3.41%.
@Crash oh no, I'm sorry, I didn't finish that sentence very clearly. I was referring to the new DL offering, in terms of waiting. All things considered (that have been going down in the world), I think PRSNX has accommodated itself rather well. I think we got into it about the same time, which wasn't the greatest entry point but with a little patience and rejiggering now and then I think we can make it work as our global bond slot-holder. During the time we have held it, PRSNX has shown it can "have its moments" of shining performance.
Comments
By Michelle Abrego 11 Jan, 2016
‘As of [last Tuesday], we bought some global, mostly developed, non-dollar bonds taking some currency risk in our bond fund. For nearly five years we’ve had nearly everything dollar denominated. We think the currency risk will turn a profit,’ he said.
http://citywireselector.com/news/gundlach-ups-currency-risk-for-first-time-in-five-years/a871960?ref=citywire_global_latest_news_list
Reminder
Jeffrey Gundlach Webcast tomorrow 1/12/2016
Mr. Gundlach will be discussing the economy, the markets and his outlook for what he believes may be the best investment strategies and sector allocations 2015.
Tuesday, January 12, 2016
1:15 pm PT/4:15 pm ET/3;15 CT
Click Here to Register
https://event.webcasts.com/starthere.jsp?ei=1084870
From citywire:
‘A little more dovish on the minutes is favorable for non-dollar on the margin,’ Gundlach told Citywire Americas in New York.
And today from a Fed Member
Markets | Mon Jan 11, 2016 9:55pm EST
Fed's Kaplan: four hikes not a sure thing in 2016
Dallas | By Ann Saphir
"This is an unusual start to the year, obviously," Robert Kaplan, the Dallas Fed's new president, told reporters after a talk here.
Concern about slowing growth in China roiled world markets in August and forced the Fed to hold off raising interest rates in September. This year has started off with global markets again rocked by plunges in Chinese stock markets, a fall in the yuan and subsequent heavy intervention by the Chinese authorities to push the yuan back up.
"We went through this in August and September, we paused, we watched, we let events unfold, which is the right way to handle it, and we saw ultimately that underlying economic conditions remained intact and solvent," Kaplan said.
"There's no substitute for time in assessing economic data as it unfolds," Kaplan told reporters.
Kaplan said he is not sure there will be enough economic data before the Fed's next policy meeting in late January to justify raising rates then, but "between now and March I think there will be."
Kaplan's comments differ somewhat from those earlier in the day from Atlanta Fed President Dennis Lockhart, who said there may not be enough data even by March to make a call for raising rates.
http://www.reuters.com/article/us-usa-fed-kaplan-rates-idUSKCN0UQ06N20160112?feedType=RSS&feedName=businessNews
Frankly, I'm much more interested in the upcoming infrastructure debt fund, although I was disappointed to learn, after reading the entire SEC filing, that it may not be possible to purchase retail shares via a direct investment with DoubleLine. I hope they change their mind about that before the fund launches. Maybe they are anticipating a relatively low demand? I can't explain it.