The Pain of Regime Change

It’s almost as if I can see the future.
In the September 22 issue of The 10th Man, I went through the math of how people would get screwed in a bond bear market.
I went through all the math, wrote about what duration was, gave some concrete examples of what would happen if rates backed up 100 basis points – and sure enough, since the election, rates have backed up about 40 basis points. This has meant heavy losses in bonds and bond funds.
Like our friend TLT here:

This post was published at Mauldin Economics on NOVEMBER 17, 2016.