Long duration US Treasuries

Foreign investors now hold a record share of long-duration US Treasuries — with over 14% of their holdings in maturities beyond 10 years. This reflects both a search for yield and a continued belief in the safety of US government bonds, despite growing concerns over fiscal sustainability and political polarization.

At ECP, while we follow such macro trends closely, our focus remains on fundamentals and prudent portfolio construction. In our client portfolios, when we are exposed to USD-denominated bonds, we generally prefer to stay at the shorter end of the curve — maintaining flexibility and reducing interest rate sensitivity.