Brandywine Global’s David Hoffman Discusses His 2015 Fixed Income Outlook
In the video, titled, “Looking Ahead at 2015”, David Hoffman outlines themes currently shaping the fixed income markets and reveals how the Firm is positioning its portfolios amid these developments.
The five key macro themes Mr. Hoffman is watching this year include:
- The significant decline in oil prices
- The relative strength of the dollar
- Weakness in the Chinese economy
- Weakness in the European economy
- Attempts to inflate the Japanese economy
Brandywine Global’s portfolios are positioned for liquidity to be driven into the global economy. “This happened in the fall with Japan increasing their quantitative easing,” said Mr. Hoffman. “We also expect it to happen later this month when Mr. Draghi delivers on his promise of doing whatever it takes to save the Euro.”
To learn more about the investment implications of these developments and how Brandywine Global Investment Management is positioning portfolios to navigate the subsequent dislocations in the fixed income market, visit www.youtube.com/watch?v=BuLvOAavwgw&list=PLB80D92D9DF9243BA to view the video.
About Brandywine Global
Brandywine Global Investment Management, LLC (“Brandywine Global”) offers a broad array of fixed income, equity, alternatives, and asset allocation strategies that seek value across global markets. Founded in 1986 by a group of highly experienced portfolio managers, the firm has been a wholly owned affiliate of Legg Mason, Inc. since 1998 but operates independently. The firm manages $63.4 billion as of 12/31/14 for institutional and high net worth investors, with headquarters in Philadelphia and office locations in San Francisco, Montreal1, Toronto1, Singapore2, and London3. Brandywine Global pursues one investment approach: value investing. Through practical experience, we have determined that value-style investing — whether in equity, alternatives, or fixed income markets, in the U.S. or internationally — can provide solid risk-adjusted returns over full investment cycles, and it is a particularly important strategy in today’s global markets.
For more information on Brandywine Global investments, call your financial advisor or visit www.leggmason.com/individualinvestors.
Legg Mason, Inc. is a global asset management firm with assets under management of $709.1 billion as of December 31, 2014. The Company provides active asset management in many major investment centers throughout the world. Legg Mason is headquartered in Baltimore, MD and its common stock is listed on the New York Stock Exchange (symbol: LM).
All investing involves risk. Past performance is no guarantee of future results.
Fixed income securities involve interest rate, credit, inflation, and reinvestment risks; and possible loss of principal. As interest rates rise, the value of fixed income securities falls. Asset-backed, mortgage-backed or mortgage related securities are subject to additional risks such as prepayment and extension risks. High yield bonds possess greater price volatility, illiquidity, and possibility of default. International investments are subject to special risks including currency fluctuations, social, economic and political uncertainties, which could increase volatility. These risks are magnified in emerging markets. Derivatives, such as options and futures, can be illiquid, may disproportionately increase losses, and have a potentially large impact on fund performance. The Fund is not diversified, which means that it is permitted to invest a higher percentage of its assets in any one issuer than a diversified fund. This may magnify the Fund’s losses from events affecting a particular issuer. The Manager’s investment style may become out of favor and/or the Manager’s selection process may prove incorrect; which may have a negative impact on the fund’s performance. Please see the prospectus for a more complete discussion of the fund’s risks.
The Morningstar awards acknowledge managers who not only delivered impressive performance in 2014, but who have also shown excellent long-term risk-adjusted returns, and have been good stewards of fund shareholders’ capital, as noted on the Morningstar website.
Morningstar Awards 2014©. Morningstar, Inc. All Rights Reserved. Brandywine Global team nominated for Fixed Income Fund Manager of the Year, United States: Steve Smith, David Hoffman, and John (Jack) McIntyre, all of whom manage the Legg Mason BW Global Opportunities Bond Fund (GOBIX).
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INVESTMENT PRODUCTS: NOT FDIC INSURED | NO BANK GUARANTEE | MAY LOSE VALUE
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