Pimco's Ivascyn Says Time to Cut Risk in ‘Fragile Situation’

  • Bond manager says market players should be bit more concerned
  • Advises investors to be a ‘touch lower’ on the risk spectrum

Daniel Ivascyn

Photographer: Misha Friedman/Bloomberg
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Dan Ivascyn, who runs the world’s largest actively managed bond fund at Pacific Investment Management Co., says now is a good time to reduce risk.

Geopolitical tensions and rising interest rates have created a “much more fragile situation” than in early 2016, when the Brexit vote and the U.S. elections weighed on markets, Ivascyn said at a panel discussion Thursday. With fixed-income markets still expensive by historical standards, there’s less room to absorb negative surprises, he said.