As the new year begins, the investment grade (IG) market faces multiple challenges, including a recovering economy, low yields, tight spreads, and record high duration. At the same time, market technicals remain favorable, fundamentals are improving, and there are attractive sectors in the index. Overall, we are modestly bullish about 2021 and feel there are compelling opportunities for those who know where to look.
Davis Real Estate Fund Annual Review 2021—Davis Advisors
As we reflect on 2020, it occurs to us that for much of the year, real estate securities lived the life of Estragon in Samuel Beckett’s Waiting for Godot.
We Don’t Need No Stinkin’ Valuation Metrics—Osterweis
The question on our minds is whether or not the markets are untethered from the economy to such a degree that investors should more actively seek shelter.