5 Things Your Fund Company Won't Tell You About Non-Traditional-Bond Funds
Sins of omission are still sins.
Some non-traditional-bond funds are certainly a lot better than others, but as a broad group they aren't the cure-alls some fund companies are suggesting. Here are five things they probably didn't mention.
1) The idea behind these funds isn't as novel as it sounds.
There's a running industry narrative that non-traditional-bond funds have sprouted up as an organic response to the (obvious) end of a multidecade bull bond market and that the idea of an unconstrained duration strategy is a unique response to this rare market condition.