FolioBeyond believes interest rates are going higher, and that many of the strategies investors are using may not perform as expected. We believe it is possible to protect against high rates, or even to profit from a bear market, without the drag of negative current income. Paying out option premiums, and covering the cost of holding short positions can significantly erode your returns—even if you make the right macro call.

In this discussion, we take a long-term view of prior interest rates bear markets, and explain why it really “isn’t different this time.” It’s been a long time since rates have been at historic norms, and with inflation seemingly gaining traction, it’s highly likely rates will follow.

We will discuss why we believe our strategy can work for investors, hedgers and traders.

Financial Times,

The end of the bond market bull run

Read the full article at:

https://on.ft.com/3GSG1Nz

Investments involve risk. Principal loss is possible. Unlike mutual funds, ETFs may trade at a premium or discount to their net asset value. The fund is new and has limited operating history to judge. The value of MBS IOs is more volatile than other types of mortgage related securities. They are very sensitive not only to declining interest rates, but also to the rate of prepayments.

Distributed by Foreside Fund Services, LLC.