Jeff Tjornehoj

With Fed rate hikes moving at a snail’s pace, a primary motivator for investors seeking inflation protection - the rate reset feature of loans – is greatly diminished.

While we’re very unlikely to see the US$20bn-plus outflows of the previous few years, these funds will continue to struggle with redemptions this year.

ETF investors have fueled the bull market since the end of Februa... by Jeff Tjornehoj

ETF investors have fueled the bull market since the end of February.

They did like technology and utilities, which is an odd combination because utilities are a defensive play and technology is an aggressive one.

We've had a couple of firms go on to repeat for a couple of years now, and it often surprises me that with all the competition in this industry that anyone can stay on top for as long as they do, it speaks to the people and the process they must have in place. I don't think it happens by accident.

It takes the perspective that many investors have, we are hurt by losses more than we are rewarded by gains.

Retail investors have been leery about equity for some time, they... by Jeff Tjornehoj

Retail investors have been leery about equity for some time, they want to see a sustained rally.

We started the year off horribly - I don't think there's been a worse January in history, that sets the tone for investor expectations.

This is a loss of an oldie, there are not many funds that approach their 50th anniversary and drop dead just before it.

He's had years of terrific performance but there is just so much volatility associated with his funds.

Given enough time, it could work out, but that's the issue at hand: Will investors give them enough time to see this through?

There were some ETF investors who liked what they saw in gold, there's always a point in the market where someone wants to be the first to spot the dip.

Retail investors haven't seen enough momentum in the market to really prompt them to take another spin in loans, the market just looks too volatile.

The market is showing some concern on the direction of interest r... by Jeff Tjornehoj

The market is showing some concern on the direction of interest rates.

Not only did investors back away from domestic issues, but emerging-markets investors also read the tea leaves on higher interest rates, and they pulled money out.

It points to concerns about higher interest rates ahead. by Jeff Tjornehoj

It points to concerns about higher interest rates ahead.

Until we get better economic news out of China, I think the negative sentiment will weigh on investor behavior.

The reason people got into loan funds was to protect themselves in a rising rate environment, they were sold on that idea a couple of years ago, especially in 2013 when they came flooding in. They have since failed to see a rise in rates, and money has been pulled out month after month after month.

I don't have a very hopeful view for loan funds taking in money any time soon, and I think we'll see more outflows.

Now it's debatable whether the Fed will even act in December. by Jeff Tjornehoj

Now it's debatable whether the Fed will even act in December.