Gavekal Capital: Bund-Treasury Spread Continues to Widen

Tuesday, June 24, 2014

Bund-Treasury Spread Continues to Widen

The difference in yield on 10-year U.S. treasuries (grey line) compared to German bunds (blue line) has surpassed recent extremes of 2005/2006 and now exceeds more than 130 bps-- a level not seen since 1999, the year the euro was born.

About Gavekal Capital

Gavekal Capital is a US registered investment advisory firm that manages the Gavekal Knowledge Leaders Strategy. Knowledge Leaders are a group of the world’s leading innovators with deep reservoirs of intangible capital. These companies often possess competitive advantages such as strong brand, proprietary knowledge or a unique distribution mechanism. Knowledge Leaders are largely service-based and advanced manufacturing businesses, often operating globally. Gavekal Capital seeks to identify the world’s leading knowledge companies through a proprietary process that analyzes corporate knowledge investments.
We offer the Gavekal Knowledge Leaders Strategy in multiple products for global investors. For more information about our product offerings please visit http://www.gavekalcapital.com.
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