Pimco looks at junk bond investments after sell-off: CIO Ivascyn

2020-02-24 01:34:53    阅读:172463

NEW YORK (Reuters) - Dan Ivascyn, the group chief investment officer at Pimco, one of the world’s largest bond asset management firms, said investors have been overreacting to the credit turmoil stemming from the junk-bond fund collapse at Third Avenue Management, and that Pimco is looking to take advantage of the sell-off. The offices of Pacific Investment Management Co (PIMCO) are shown in Newport Beach, California August 4, 2015. REUTERS/Mike Blake “We do think in certain areas of the corporate credit markets that people have been overrea

cting and as a resul

t, we are responding, Ivascyn told Reuters in a telephone interview. “We do think there’s been an overreaction in certain corporate credits and we are there to bid bonds which is not too dissimilar to what we did last year when there was a lot of volatility in Emerging Markets, particularly in Russia. Newport Beach, California-based Pacific Investment Management Co, which is a unit of Allianz SE, oversaw $1.47 trillion in assets under management as of Sept. 30. Last week, Martin Whitman’s Third Avenue Management said it was barring investor withdrawals while it liquidated its high-yield bond fund, an unusual move that highlights the dangers of loa

ding up on risky assets that are hard to trade even in good times. “There’s never just one cockroach in any kind of credit meltdown, Jeffrey Gundlach, who oversees $80 billion at the Los Angeles-based DoubleLine Capital, said last week. Investors have been on “credit overload, in a reach for yield, Gundlach said. “People are too long credit and the credit is melting down and the stock market is whistling through the graveyard. It is so similar to 2007, it’s scary. Ivascyn said valuations in the credit markets “look interesting to us, especially given www155177马会资料 that he believes the Federal Reserve will not be raising rates quickly. “The Fed likely goes tomorrow and will use dovish language and will likely bring down their ‘dot p

lot’ a little bit, Ivascyn said. Federal Reserve officials publish their forecasts for the central bank’s key interest rate on a chart known as the ‘dot plot.’ “We are cautio

usly optimistic on global growth, including U.S. growth, Ivascyn added. Last week, Ivascyn said Pimco is adding energy-related securities to some of its portfolios as Pimco expects oil prices to rise over the next 12 months. “We’ve been adding some oil-related and energy-related names in our broader mandates, Ivascyn said. On a 12-month basis, the Pimco Income fund, which Ivascyn oversees, is posting returns of 3.01 percent, easily beating 97 percent of its peer category.