And as we’re there now, you get the inversion of the yield curve. So it was definitely the right place to be in 2022 as we head into 2023. the short end, the curve naturally is the, I would say the comfort zone for where advisors like to park money. So usually when you look at advisors, their books are usually hugging the short end anyway, just because they think, from an advisor’s perspective, they don’t like volatility on the fixed income side of the portfolio. But, as I mentioned, for the majority of 2022, because we had y- a flat yield curve, a lot of investors weren’t really compensated for taking on term risks. obviously we got the inversion of the yield curve heading into the fourth quarter of last year. when you look at the majority of the year last year, the yield curve was essentially flat for the majority of the year. Alfred Lee: I think in 2022, it was definitely the right move. We’ve seen investors to the sh- move or shift to the short end of the yield curve now to take a break from risk and take advantage of also short-term yields, which we didn’t have for a very long time, was that the right move or is that simply what investors did in reaction to rising rates and volatility? Those, one of those rare, brutal moments, and definitely it was true last year in 2022, only now the difference between 20 is that we actually have more time now than we did in 2020 to make meaningful changes. There’s been a lot of buzz, about the traditional 60/40 portfolio being broken for some time, and that was true in 2020. Pierre Daillie: 2022 was one of those rare moments in markets, in market history where both bonds and equities nominally suffered, as much as double digit losses or more. Nothing discussed in this broadcast is intended to be considered as advice. This broadcast is meant to be for informational purposes only. The views and opinions expressed in this broadcast are those of the individual guests and do not necessarily reflect the official policy or position of or of our guests. Disclaimer / Announcement: This is the Insight is Capital Podcast. We’ll explore the 2023 market outlook, central banks, gold, key risks, and portfolio construction across various asset classes. We’ll discuss portfolio strategy and fixed income strategy. As we begin the new year, we’ll discuss if inflation and interest rates are trending in the right direction. 2022 was a challenging time in markets, which had investors riding on ways of uncertainty. Portfolio Manager, and Investment Strategist at BMO Global Asset Management. Joining me today is Alfred Lee, Director. Pierre Daillie: Hello, and welcome to Insight is Capital.
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