Tags: Bill Gross | treasurys | bonds | Investors

Bill Gross: Investors Should Stay With US Treasurys

Bill Gross: Investors Should Stay With US Treasurys

Thursday, 21 January 2016 08:06 AM


Bill Gross, the closely followed investor, said that investors should stick with U.S. Treasurys in the wake of recent market turmoil.

"I would stick to high-quality sovereign debt, as in U.S. Treasurys," said Gross, who runs the Janus Global Unconstrained Bond Fund, recently told CNBC.

Gross also recommended investors should consider Build America Bonds, which are taxable municipal bonds that carry special tax credits and federal subsidies for either the bond issuer or the bondholder.

"There are a lot of closed-end funds that are selling 10-15 percent discounts to net asset values. That means you are buying something at 80-95 cents on the dollar," Gross said.

"Some of these closed-end funds deal in, yes, relatively high-quality municipal bonds."

Last year, the Janus Global Unconstrained Bond Fund outperformed a comparable fund at Gross' former employer, Pimco.

The Janus Global Unconstrained Fund was down 0.43 percent last year while the Pimco Unconstrained Bond Fund was down 2.22 percent for the same time period, according to data from Morningstar. The Janus Global Unconstrained portfolio surpassed 66 percent of its peers in 2015, Morningstar said.

Pimco declined to comment.



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Bill Gross, the closely followed investor, said that investors should stick with U.S. Treasurys in the wake of recent market turmoil.
Bill Gross, treasurys, bonds, Investors
185
2016-06-21
Thursday, 21 January 2016 08:06 AM
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