Fed Rate Hike Could Cause Market “Accident” Says DoubleLine Exec

Bonnie Baha, head of global developed credit at DoubleLine Capital LP, said “I think there is a high probability of an accident” if the Fed raises rates in 2015. She said that a rate hike would be “like putting your foot on the brake when there’s no gas in the car to begin with,” suggesting it could trigger a “tightening cycle” and the Fed might then have to backtrack. DoubleLine has a strong record, with its flagship fund beating 97% of peers over one, three, and five years. Baha said she expects “more of the same but worse” for corporate […]