DoubleLine Capital

DoubleLine CEO-CIO Jeffrey Gundlach joins the panel “Banks, Private Credit, and the Future of Risk” at the Milken Institute Global Conference in Beverly Hills on Wednesday, May 6, moderated by Bloomberg’s Erik Schatzker. (This is a highlight video of Mr. Gundlach’s appearance. The full video of the panel discussion and other panels is available on the Global Conference Website found here: https://milkeninstitute.org/events/gl...) Mr. Gundlach draws parallels to past market booms — the dot-com era, the CDO market and the mortgage crisis – arguing that private credit is experiencing the same Wild West dynamic, where a flood of fast money overwhelms underwriting discipline and erodes trust. He points to mounting evidence of opacity and mismarking, including the same loan being valued at 95 by one manager and 8 by another within the same institutional portfolio, and calls the industry Lake Wobegon on steroids – where every firm claims to be top decile while losses quietly accumulate.

Mr. Gundlach is equally critical of the three pillars used to sell private credit – lower volatility, higher historical returns and better sleep – dismissing all three as variations of the same “laundered volatility” argument. He reserves particular scorn for the use of shadow credit rating agencies to manufacture investment grade (IG) ratings on below-IG loans, calling it “financial alchemy.” On the redemption cycle, Mr. Gundlach expects requests to grow significantly heading into the “Ides of June,” noting that when investors can’t get out, it only makes them want out more. He closes by noting that sovereign wealth funds outside the U.S. are increasingly seeking noncorporate credit diversification, while U.S. institutional investors appear largely unfazed for now – leaving retail as the most exposed and least informed cohort in the unwind ahead.

https://www.youtube.com/watch?v=Ym3MOmQsPxk

Jeffrey Gundlach at Milken: Financial Alchemy and the Erosion of Trust DoubleLine CEO-CIO Jeffrey Gundlach joins the panel “Banks, Private Credit, and the Future of Risk” at the Milken Institute Global Conference in Beverly Hill...

DoubleLine CEO-CIO Jeffrey Gundlach joins CNBC’s Scott Wapner following Federal Reserve Chair Jerome H. Powell’s final FOMC press conference. Mr. Gundlach describes the event’s tone as notably hawkish and calls the bond market’s resultant sell-off entirely justified. With oil prices elevated and tariff effects unlikely to fade quickly, he sees headline CPI reaching a 4 handle in the near term, making Fed rate cuts essentially impossible. More provocatively, he argues, “the odds of a hike between now and year end are better than the odds of a cut.”

Mr. Gundlach offers a balanced take on Chair Powell’s legacy, criticizing the lag in hiking rates in 2021, but he is genuinely complimentary of the broader economic stewardship: “The economy has been robust, frankly more robust than virtually everybody, including myself, thought it had any right to be.” He also praises Chair Powell’s parting defense of Fed independence, agreeing that removing Fed officials for political reasons “would be the beginning of the end.”

Mr. Gundlach closes with a warning on private credit interval funds, drawing a parallel to Silicon Valley Bank and predicting a wave of redemption requests around June 23 — what he cryptically calls the “Ides of June” — as a likely catalyst for stress in that market.

DoubleLine Capital 97 likes. "Jeffrey Gundlach: Beware the Ides of June | CNBC"

In the inaugural episode of DoubleLine’s Sherman Says, Deputy CIO Jeffrey Sherman and Strategist Ryan Kimmel are led by Relationship Manager Nick Dalgety through a discussion of the current macro and market landscape. The focus is on persistent inflation pressures driven by energy price volatility, tariffs and elevated services inflation, which continue to challenge the Federal Reserve’s policy path.

From an investment perspective, the group emphasizes disciplined positioning in an increasingly complex fixed-income environment, where starting yield and security selection remain critical. As Sherman notes, “The dirty secret in the bond market is that one of the highest Sharpe ratios almost always sits at the front of the curve. You want to be in things that are shorter in nature, higher quality and more analyzable – especially with an unpredictable policy environment.” The team also highlights relative value opportunities and areas where valuations remain more attractive on a historical basis.

DoubleLine Capital 41 likes. "Sherman Says: The Dirty Secret in the Bond Market"

DoubleLine President Ron Redell joins Tom Athenour on the Leader2Leader Podcast to share lessons on leadership, culture and building high-performing teams, with a focus on ownership, adaptability, and the mindset needed to lead in a changing environment.

DoubleLine President Ron Redell on Leadership and Building High-Performing Teams | Leader2Leader DoubleLine President Ron Redell visits the Leader2Leader Podcast, hosted by Tom Athenour, to share insights on the importance of ownership, adaptability and ...

Epic Fury, Bill Campbell writes, stimulates a transition from a U.S.-led to multipolar investment regime; capital flows into non-U.S. markets; worsening of U.S.’s unsustainable fiscal trajectory; tailwinds to energy-exporting LatAm countries.

Wages of War: Opportunities Amid Risks - DoubleLine doubleline.com

DoubleLine Deputy CIO Jeffrey Sherman joins Bloomberg TV to discuss energy-driven inflation, shifting rate expectations and how liquidity pressures are starting to surface in private credit markets.

Jeffrey Sherman on Oil, Deficits and the Private Credit Liquidity Trap | Bloomberg DoubleLine Deputy CIO Jeffrey Sherman joins Bloomberg Markets: The Close to unpack the market impact of rising oil prices, geopolitical disruptions and shift...