
Masters in Business Franklin Templeton's Ed Perks on Fixed Income Investing
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Mar 6, 2026 Ed Perks, president of Franklin Advisers and CIO of Franklin Income Investors, brings decades managing multi-asset income and fixed income strategies. He discusses income-focused investing versus equities. He covers flexible, go-anywhere fixed income mandates, private credit’s rise and transparency concerns, and managing risk through volatility and macro shifts.
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MBS Demand Hinges On Lower Long-Term Rates
- Agency mortgage-backed securities are a core fixed income sleeve and reacted to large Treasury/Fannie-Freddie announcements by tightening spreads.
- Housing activity depends on longer-term rates moving materially lower from current ~6% mortgage levels.
Watch Labor Market Nuance For Policy Clues
- Track the labor market as a real-time signal for Fed policy and growth; recognize current dynamics show reluctance to hire and to fire, producing stagnant-ish labor conditions.
- Use that nuance when forecasting rate paths and portfolio duration exposure.
Owning Multiple Parts Of A Company's Capital Structure
- Franklin often owns multiple parts of a company's capital structure; roughly 30–40% of the portfolio holds bonds, equity, and convertibles for the same issuer.
- That holistic approach lets them capture income and upside while managing relative valuation across securities.








