PT Asset Management sees value in municipal bonds and high-quality credit

PT Asset Management CEO Sean Dranfield joined Proactive's Steve Darling to discuss the current bond market environment, the Performance Trust Total Return Bond ETF, and where investors may find opportunities amid ongoing uncertainty surrounding interest rates, inflation, and credit markets. Dranfield said the yield curve has flattened as short-term interest rates have risen more sharply than long-term rates, largely reflecting persistent inflation concerns. He noted that forecasting interest rates remains extremely challenging, even for central banks, making flexibility an important part of portfolio construction. “We're entirely rate agnostic. We don't believe anybody, including us, can predict rates,” Dranfield said. Rather than trying to anticipate rate movements, PT Asset Management focuses on building balanced portfolios that combine both offensive and defensive positioning. On the offensive side, Dranfield highlighted taxable and tax-exempt U.S. municipal bonds, which he be...