Stable value funds play a critical role in DC plans, historically providing principal preservation, consistent positive returns, liquidity for benefit payments, and financial confidence for participants.
Higher yields reflect a resilient economy, not necessarily the start of a punishing tightening cycle. That could be a favorable backdrop for bond investors.
Housing policy may not move home prices quickly, but it could reshape the mechanics that drive mortgage lending, RMBS spreads, cash flows, and relative value.