market folly

We're posting up notes from the Sohn San Francisco 2018 investment conference.  Next up is Vineer Bhansali of LongTail Alpha who gave a presentation on investment ideas in a rising rate environment.


Vineer Bhansali's Sohn San Francisco Presentation

Economic risk globally begins rising, political/geo-political risk continues to increase.  Earnings and momentum strong but being adjusted lower.  Correlations across strategies at all time highs. 

Talked about ideas to invest in a rising interest rate and yield environment.  Winners in a steepening yield curve environment include banks and financials, small caps with low financial leverage, quality, Two year Treasuries.  Generally likes to be long volatility, especially in interest rates.

Losers in a steepening yield curve environment include bond proxies, tech, anyone with excessive financial leverage, low quality and any long duration asset.


Be sure to check out the rest of the Sohn San Francisco 2018 presentations.