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Aug 2024
1h 1m

Wellington's Khurana: Broad election res...

CHUCK JAFFE
About this episode

Brij Khurana, fixed income portfolio manager at Wellington Management, says that if either political party sweeps the election in November -- winning the presidency and control of Congress and the Senate -- the result will be higher bond yields, because the market will price in greater financing of deficits, but he notes that a divided government, the market will price in a bigger fiscal contraction regardless of who the president is, bringing yields down. Khurana says the Federal Reserve should already have been cutting interest rates but will start next month, although he is expecting a slow, methodical cutting process rather than knee-jerk cuts in response to any data changes. On the stock side of the investment world, Matt Harris, chief investment officer at The Hausberg Group says that the volatility that surfaced early in August hasn't given him any reason to distrust the trend, which remains intact on a long-term basis and which he does not think will be broken despite heightened volatility between now and election day. Aaron Filbeck, managing director of the CAIA Association, discusses interval funds, their fee structure and potential and responds to a recent Wall Street Journal article on how their fees "will leave you high and dry." Plus, in the Market Call, Conrad Doenges, chief investment officer at Ranger Investment Management discusses small- and micro-cap investing.

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