Know More. Risk Better. Refinancing America: A Bond Vigilante’s View
Jul 31, 2025
Gordon Tsui, Managing Director and Head of Fixed Income at Ping An, brings decades of expertise to the table. He discusses the 'bond vigilante' mindset and its influence on the U.S. fiscal landscape. Tsui highlights how Treasury supply is becoming as critical as FOMC meetings and analyzes the impacts of tariffs on investments. He also shares insights on the offshore RMB bond market against a weakening dollar and explores the relative attractiveness of local currency bonds, offering valuable perspectives for global investors.
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Gordon Tsui's Bond Vigilante Journey
- Gordon Tsui describes himself as a bond vigilante, prioritizing government fiscal prudence to protect bond investors' purchasing power.
- His career started at Hong Kong Monetary Authority, helping him analyze political impacts on fixed income markets.
Managing U.S. Debt Costs
- U.S. debt burden near 100% of nominal GDP is manageable but discretionary spending growth threatens sustainability.
- Lowering short-term rates and adjusting Treasury issuance could reduce government borrowing costs closer to Eurozone levels.
Fed Independence Debated Today
- Gordon Tsui believes Federal Reserve independence was more relevant decades ago but may not suit the current U.S. fiscal environment.
- He supports a Fed easing to lower interest costs and alleviate inequality and living costs for low-income Americans.