[troydavis]

It doesn’t mention the root cause, which was chasing yield by buying longer-duration Treasuries (and not hedging that exposure).

Obviously the exposure to tech was a contributing factor, but that wouldn’t have been a problem if they had accepted lower yields (as their inflows grew in 2020-2021). They’d have bought shorter-duration bonds or hedged their rate exposure. They wanted 2019-era yields to continue after April 2020, and took duration risk to get it.