Dan Ivascyn

And then

You know, at times there is a big trade.

So, you know, we want to be on the lookout for the big trade.

But they're just harder to find.

Well, yes, it was annoying and tough to operate.

if you're in Europe, again, you had negative yields.

So, you know, again, we try to, you know, we market in this industry and you try to put on a positive tone.

Inflation was low.

But you had no value.

You know, so you took a low inflation rate, subtracted that small rate from starting bond yields.

You ended up with a negative number.

And we've had 10 or 15 years, I don't know, I don't have the math or the numbers in front of me, but last 10 or 15 years, high quality bonds have generated returns of about two and a half percent.

Take away, you know, two-ish percent inflation, nothing there.

The math is much more favorable today.

And, you know, unlike growth equity investing, VC, you know, with a little bit of time, you typically earn your yield.

And then if we do our jobs properly and generate some additional returns, some thoughtful asset allocating,

expand the opportunity set, a little more complexity.

You know, the math works out better today.

Yeah, pre-COVID, that was the general thinking at PIMCO as well.

Global savings glut, tremendous disinflationary pressure, or put more simplistically, central bankers had been trying to create inflation for a long time, unsuccessfully.