Morgan Stanley Preps for Bigger Fed-Engineered Risk Rally
- Fixed-income PM Jim Caron buying emerging-market debt
- New Fed approach could keep rates near zero for 5 years
This article is for subscribers only.
The Fed is about to bestow more gifts on the market, stoking a new phase in the risk rally, according to Morgan Stanley Investment Management portfolio manager Jim Caron.
With the Federal Reserve poised to adopt a policy that could suppress rates for years to come, Caron is adding higher-yielding debt including from emerging markets to Morgan Stanley’s global fixed-income funds.