{"id":25686,"date":"2014-06-27T18:50:32","date_gmt":"2014-06-27T23:50:32","guid":{"rendered":"http:\/\/prefblog.com\/?p=25686"},"modified":"2014-06-27T18:50:32","modified_gmt":"2014-06-27T23:50:32","slug":"the-return-of-the-50-year-bond","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=25686","title":{"rendered":"The return of the 50-year bond"},"content":{"rendered":"<p>Andrew Allentuck was kind enough to quote me in his piece <a href=\"http:\/\/www.investmentexecutive.com\/-\/the-return-of-the-50-year-bond\">The return of the 50-year bond<\/a>:<\/p>\n<blockquote><p>U.S. pension fund regulation has put more weight on long bonds in pension fund portfolios, encouraging them to buy more long-dated government debt to match long-term liabilities. Canadian regulators are taking a similar course, notes James Hymas, president of Toronto-based Hymas Investment Management Inc. All of this has pushed up the prices of mid- to long-term bonds.<br \/><b>&#8230;<\/b><br \/>The reversion to historical interest rates, which parallel inflation, has to take place &#8211; someday. As Hymas explains: &#8220;The current situation of low bond yields, which barely cover inflation running at 1.5% per year, cannot last. Doing that with 50-year government debt is not prudent for anybody who does not need half a century&#8217;s worth of liquidity.&#8221;<\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p>Andrew Allentuck was kind enough to quote me in his piece The return of the 50-year bond: U.S. pension fund regulation has put more weight on long bonds in pension fund portfolios, encouraging them to &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[19],"tags":[],"class_list":["post-25686","post","type-post","status-publish","format-standard","hentry","category-press-clippings"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/25686","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=25686"}],"version-history":[{"count":0,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/25686\/revisions"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=25686"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=25686"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=25686"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}