Interest rates

Muted core inflation increases and relentless haven flows have kept a lid on longer-dated developed-market yields.

Investors have found the sector attractive again as Treasury yields dropped to 2.8% in six days.

Clients must still account for gains not incurred through a sale or cash distribution.

Clients may be compelled to sell their shares as nearly 90% of the products have experienced losses this year.

Treasury yields have fallen in response to tariffs imposed by the Trump administration, making defensive sector holdings more attractive.

Although investors think the 10-year Treasury yield will easily reach 3.5%, analysts warn “there might be a few blips on the way.”

Returns over the past decade have been stellar, but capital preservation is a concern.

This environment allows advisors to demonstrate their value to clients.

Rising yields coupled with relatively high hidden fees could lead to underwhelming returns.

Scrutinizing recent performance isn’t a recipe for long-term investment success.