“Many Ways to Win”: Dan Ivascyn on Making the Most of Rate Volatility

PIMCO Group CIO Dan Ivascyn discusses rate volatility and argues the more important story is high starting yields, which he says are near 25-year highs. He explains how those yields can potentially deliver long-term returns across scenarios, from an economic slowdown to optimistic AI adoption, and outlines an approach built on patience, high-quality fixed income, global diversification and sensible duration.

1. Ivascyn says the story isn’t the volatility but the high starting yields, which the description says are near 25-year highs.
2. He says those yields can potentially deliver long-term returns in multiple scenarios, from an economic slowdown to the most optimistic AI adoption scenarios.
3. His approach emphasizes patience, a disciplined process, high-quality fixed income, a globally diversified approach and sensible duration.
4. The show notes cover rate volatility, why starting yields change the bond equation, differences from 2022, bond and equity volatility, AI and innovation, and PIMCO’s duration approach.