PIMCO’s CIO: Take This Low Volatility Opportunity to Sell

Scott Mather, CIO of U.S. core strategies, is suggesting investors use this slow grind higher to reduce risk, selling out of higher yielding fuckery in exchange for ‘safer’ stuff. This, of course, is the thinking of a rational man, but also one of a coward. He cites the fact that markets wouldn’t be doing so good, if it weren’t for the explicit rigging of markets by central banks.

Can anyone argue with that?

The trillion dollar question is when will the central banks stop rigging markets? People have been pondering this question dating back to 2009. For nearly half a decade, pundits have been saying ‘The Fed is pushing a string.’ Meanwhile, here we are in 2016 and the central bank hegemony over markets is stronger than ever. They’ve managed to completely eradicate credit risk in Europe, something–at first–thought to be an impossible task. Yields have gone from elevated levels to negative. Markets are at record highs and nothing seems to deter them, not even news!