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The Risk Parity of Bonds
In 2009 markets were only going down, and today they're only going up. So we naturally position ourselves for the continuation of the trend. I worry about the day that the market, the stock market sells off and the bond market sells off with it. And bonds don't behave the way people expect them to. It's interesting to think about a market environment where potentially bonds don't act as a wonderful hedge against falling stock prices.