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Rare Bond Market Conditions Set Up Complacent Investors for Subpar Returns
Rarely do intermediate and high-yield bonds look risky at the same time. However, it appears they are both risky today. Intermediate-term bonds are barely yielding more than short-term bonds, and “high-yield” bonds are not yielding much more than high quality bonds.
Two Decades of Winning by Not Losing by FPA Crescent’s (FPACX) Steven Romick
Due to elevated valuations in many of the equities we own and a lack of distress or adequate yields in the credit markets, the FPA Crescent Fund (“the Fund”) began 2020 with a net equity exposure of ~57%
Letter to Board of Directors at Arconic dated February 6, 2017
First Pacific Advisors, LLC (“FPA”) currently beneficially owns approximately 20.1 million shares of Arconic Inc. (“Arconic” or the “Company”), which represents over 4.5% of the Company’s shares.
Due to elevated valuations in many of the equities we own and a lack of distress or adequate yields in the credit markets, the FPA Crescent Fund (“the Fund”) began 2020 with a net equity exposure of ~57%
A full market cycle can be defined as a peak-to-peak period that contains a price decline of at least 20% over at least a two-month period from the previous market peak, followed by a rebound that establishes a new, higher peak.
Investments, including investments in mutual funds, carry risks and investors may lose principal value. The information included in this website is based on the assumptions and analysis made and believed to be reasonable by FPA. However, no assurance can be given that FPA’s opinions or expectations will be correct. The information included herein is intended for informational purposes only and should be not considered a recommendation or solicitation to purchase securities. Past performance is no guarantee of future results.
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