The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Pimco Versus the Hushed Whispers of Recession Not Rated 0.0 Email Routing List Email & Route  Print Print
Thursday, April 27, 2023

Pimco Versus the Hushed Whispers of Recession

Reported by Andrew Lusk

As recession becomes less of an "if" and more of a "when," one top fund firm executive is turning to high-quality segments of the fixed income market for stability.

Daniel John "Dan" Ivascyn
Group Chief Investment Officer
At the 2023 Morningstar Investment Conference (MIC), Pimco chief investment officer Dan Ivascyn emphasized the importance of keeping a level head as markets contract. Some of his recommended investing areas include agency mortgages, taxable municipal bonds, and the IG credit markets.

In a press briefing, Ivascyn explained that preparing for more volatility from the central bank space is crucial for investors today. However, there is "not an obvious near-term solution" to markets roiled by outside forces, he notes.

Ivascyn told MFWire during the briefing that recent regional bank weaknesses (e.g. First Republic) are far from resolved, and will contribute to economic woes moving forward. "Recession is probably more likely than not, [but] the recession term is a tricky one because it suggests some binary magic, like you're either growing or you're in recession."

"It's hard to talk in multiple dimensions, so we use the term because it's simple and easy to understand," he adds.

What's printed in the papers, Ivascyn says, has a strong impact on investor behavior. In practice, "recession" and "sustained period of very, very low growth" aren't so different — but one is more sensational. In the investment world, the "headline effect" is very real.

Ivascyn notes that while the economy is generally stable, "anytime you have near stall speed growth or even slightly-negative growth, you have this inherent fragility that can lead to even more significant shocks."

The PIMCO team believes that "there is enough value back in the traditional, highest-quality segments in the fixed income markets," Ivascyn adds.

"Sure, you have to give some yield versus more economically-sensitive investments," he says, "but given extreme uncertainty, we think clients should be willing to give up a little bit of return." 

Stay ahead of the news ... Sign up for our email alerts now

 Do You Recommend This Story?

Return to Top
 News Archives
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Add to My Yahoo!
follow us in feedly

  1. WE Pacific NW and CFA Society Seattle Welcome Mixer, September 22
  2. Havener Capital's Boutique Week 2023, Sep 26-29
  3. FT's Future of Asset Management North America, Sep 27-28
  4. MFDF webinar - Introduction to Retail Private Markets Funds: Structures to Access Private Equity, Private Credit, Infrastructure and Real Estate Investments, September 27
  5. Women In Finance Fall Mix n' Mingle Happy Hour, September 28
  6. Expect Miracles Atlanta Coast Classic, October 2
  7. MFDF webinar - Exchange Traded Funds: A Market Update for Fund Directors, October 4
  8. 4th Annual ETFGI Global ETFs Insights Summit - United States, Oct 4-5
  9. 8th Annual FUSE Forum, October 5
  10. ICI & GCMFA Networking Reception, October 10
  11. 2023 MMI Annual Conference, Oct 11-13
  12. 2023 IDC Fund Directors Conference, Oct 11-13
  13. WE South - ETF Conversations, October 17
  14. IMEA Star Awards Celebration, October 17
  15. IMEA Marketing Summit, Oct 17-18
  16. MFDF Director Discussion Series - Open Forum via Zoom, October 23
  17. ICI 2023 Securities Law Developments Conference - Day 1, October 24
  18. Schwab Impact 2023, Oct 24-26
  19. 2023 MMI Legal & Compliance Seminar, October 26
  20. ICI 2023 Securities Law Developments Conference - Day 2, October 26
  21. IMEA DE&I Roundtable, November 1
  22. IMEA Leadership Summit, Nov 1-2
  23. MFDF Director Discussion Series - Open Forum (Los Angeles), November 1
  24. MFDF Director Discussion Series - Open Forum (San Francisco), November 2
  25. Expect Miracles In Boston, November 2
  26. WIPN Nebraska - 3rd Annual Collegiate Career Exploration Event, November 2

©All rights reserved to InvestmentWires, Inc. 1997-2023
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use