Latest Stories

Central Banks and the U.S. Election in the Spotlight

By David O'Malley | October 31, 2016

I was traveling in California last week and was expecting the selloff in bonds around the globe to be a big story over the weekend. However, when I looked at my phone as I boarded my flight home from San Francisco on Friday and saw the story about the FBI launching a new investigation into Hillary Clinton’s emails, I knew that bonds were no longer a big story.

Will the Natural Gas Price Recovery be Sustained?

By Greg Zappin | October 27, 2016

Oil, copper, steel, gold and other industrial and precious metals tend to garner most of the attention in the credit markets when talking about the commodity complex. Rightly so, as they serve as proxies for global gross domestic product (GDP) growth, flight to quality/risk sentiment and Chinese demand.

PMAM CIO Mark Heppenstall Appearing on CNBC Power Lunch Today

By Penn Mutual Asset Management | October 24, 2016

Tune into CNBC Power Lunch this afternoon at 1:15 p.m. ET to see Chief Investment Officer Mark Heppenstall offer his perspective on what is moving U.S. markets. He will discuss the most significant uncertainties adding pressure to the global economy and share his expectations for the fourth quarter.

Inflation Pressure and Complacency About Interest Rate Risk

By David O'Malley | October 24, 2016

For the past few weeks, I have been writing about my concern for fixed income prices over the coming months. U.S. long bonds are on pace this month for their weakest performance since June 2015, according to Bloomberg. I have been asked several times recently why I am growing more concerned about fixed income valuations given my long-term view that rates will remain low for a prolonged period of time. There are several reasons why.

Mark Heppenstall Returning to CNBC Power Lunch on Monday

By Penn Mutual Asset Management | October 21, 2016

Chief Investment Officer Mark Heppenstall will join CNBC Power Lunch on Monday, Oct. 24th between 1 and 3 p.m. ET to discuss why U.S. stocks and bonds are struggling and the global conditions contributing to market uncertainty.

Market Breadth Deteriorating, Inflation Pressure Building

By Zhiwei Ren | October 20, 2016

A New York Times article about how Walmart is getting better results by paying employees more recently caught my attention. Walmart has 1.4 million employees in U.S., and this strategy change will have ripple effects on labor market. In the past few months, we have seen several signs that some long-term trends are changing

Stay Defensive on Asset Valuations Due to Uncertainty

By David O'Malley | October 17, 2016

Both stocks and bonds lost ground last week as significant uncertainty remains ever present in market dialog. The week ahead holds more potentially negative headlines for asset prices.

CMBS Losses: Are We There Yet?

By Jen Ripper | October 13, 2016

This week’s chart depicts the realized cumulative loss rate experienced thus far for Commercial Mortgage-Backed Securities (CMBS) conduit transactions originating between 2004 and 2008. Cumulative losses are expected to rise in the coming months as legacy CMBS loans reach their maturity dates.

Employment Continues to Improve

By David O'Malley | October 10, 2016

Last week the release of the September employment report confirmed the continued moderate pace of improvement in employment. The improvement in labor force participation is the most important positive aspect of the report.

Has the Music Stopped for Hedge Funds?

By Trevor M. Williams | October 6, 2016

Last week, hedge fund veteran Richard Perry, who started Perry Capital 28 years ago, decided to call it quits. Perry is far from alone. With the exception of 2014, which saw a slight increase from the prior year, net hedge fund formation has fallen steadily since 2011.

Disclosure Statement

The material provided here is for informational use only. The views expressed are those of the author, and do not necessarily reflect the views of Penn Mutual Asset Management.


This material is for informational use only. The views expressed are those of the author, and do not necessarily reflect the views of Penn Mutual Asset Management.  This material is not intended to be relied upon as a forecast, research or investment advice, and it is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy.

Opinions and statements of financial market trends that are based on current market conditions constitute judgment of the author and are subject to change without notice.  The information and opinions contained in this material are derived from sources deemed to be reliable but should not be assumed to be accurate or complete.  Statements that reflect projections or expectations of future financial or economic performance of the markets may be considered forward-looking statements.  Actual results may differ significantly.  Any forecasts contained in this material are based on various estimates and assumptions, and there can be no assurance that such estimates or assumptions will prove accurate.

Investing involves risk, including possible loss of principal.  Past performance is no guarantee of future results.  All information referenced in preparation of this material has been obtained from sources believed to be reliable, but accuracy and completeness are not guaranteed. There is no representation or warranty as to the accuracy of the information and Penn Mutual Asset Management shall have no liability for decisions based upon such information.

High-Yield bonds are subject to greater fluctuations in value and risk of loss of income and principal. Investing in higher yielding, lower rated corporate bonds have a greater risk of price fluctuations and loss of principal and income than U.S. Treasury bonds and bills. Government securities offer a higher degree of safety and are guaranteed as to the timely payment of principal and interest if held to maturity.

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