Calamos' Freund expects 4 rate cuts in a year, creating wider discounts
The NAVigator · Active Investment Company Alliance
Audio is streamed directly from the publisher (traffic.libsyn.com) as published in their RSS feed. Play Podcasts does not host this file. Rights-holders can request removal through the copyright & takedown page.
Show Notes
Matt Freund, Co-Chief Investment Officer at Calamos Investments, expects the Federal Reserve to make "a couple of cuts this year, followed by two or three cuts next year," and that those moves will be made while inflation stays at current levels or rise slightly. With those cuts, Freund thinks there will be a steepening yield curve, around 3 percent, creating more opportunities. Freund, whose team manages the Calamos Closed End Fund Income & Arbitrage ETF, says that the yield curve changes would bring borrowing costs down and "present a nice springboard" for closed-end funds, particularly among muni funds, the managed limited partnership space and funds with exposure to natural gas and small caps.