There’s no way the biggest and longest credit expansion in the history of the world ends in a credit whimper.

bantam inc jack duval multi-family office manhattan new york - sharknado

Artist's rendering of debtnado.

As I have written about here, the corporate bond market has become toxic due to increased leverage levels, the record issuance of low-quality bonds, and leveraged loans (this cycle’s poster boy for excess).  All of this has been made possible by the synchronized global central bank policy of lowering interest

rates to zero (or below zero) after the Global Financial Crisis. Chart 1: Ratio of U.S. Corporate Debt to GDP[1] Chart 2: BBB Share of Corporate Debt Outstanding[2] The Coming Credit Event It seems highy likely that such excess will culminate in a credit event that will mark the end…

Now is the time for quality investments, especially in fixed income.

bantam inc jack duval multi-family office ultra high net worth manhattan - bond volatility chart

There's a storm coming, Mr. Wayne. (MOVE US Treasury volatility index is set to rise from decade lows.)

Many investors are unaware that 49 percent of all outstanding investment grade corporate bonds are BBB rated (one notch above junk status), up from 34 percent 10 years ago.  This is a 44 percent increase in a decade, something unprecedented. Chart 1: BBB Bonds as Percent of

Investment Grade Index[1] In fact, the entire corporate bond market (not just investment grade) has become something of a toxic wasteland of junk bonds, leveraged loans (for those firms not strong enough to issue any more junk bonds), and BBB (on-the-cusp-of-junk) rated bonds. Chart 2:  The Corporate Bond Market[2] This shifting of corporate…

Things are starting to break in the markets. Watch this video to see what's next.

bantam inc. jack duval new york manhattan multi-family office - NVDA chart

Hello darkness, my old friend. Chart of Nvidia.

In this video, Bantam CEO Jack Duval takes you through the major markets from a risk managers perspective. Nothing in this video

should be considered investment advice.  You should speak with your advisor.   https://www.youtube.com/watch?v=95eph5Rf7nQ