Fixed income market legend Harley Bassman, managing partner at Simplify Asset Management, a fast-growing Exchange Traded Funds (ETFs) provider, returns to The Julia La Roche Show for episode 148 to discuss his macro view of the economy and markets.

He believes that the market is ahead of the Fed and that inflation will not come down as quickly as people think due to demographic factors. Bassman also discusses the yield curve and its implications for a recession.

He recommends investing in mortgage-backed securities due to their attractive risk-return profile.

Finally, Bassman, the "Convexity Maven,” explains convexity and its importance in bond investing.

Bassman is also the creator of the MOVE Index, a standard measure of interest rate volatility similar to the VIX.

Links:
Twitter/X:   / convexitymaven  
Convexity Maven: https://www.convexitymaven.com/
Simplify Asset Management: https://www.simplify.us/

Timestamps:
00:00 Introduction and macro view
03:15 Inflation and Fed policy
05:40 Inflation
07:56 Yield Curve and recession
10:44 Trade opportunities
14:47 Mortgage-backed securities and convexity
19:55 Rate expectations and mortgage bond trade
20:15 Understanding convexity
25:55 Wrap up

#inflation #markets #federalreserve