Jupiter Asset Management Sells All U.S. Treasuries in Major Bond Fund, Buys European Government Debt

Jupiter Asset Management has fully sold its U.S. Treasury holdings in one of its main bond funds and shifted into European government bonds, 36Kr reported. Harry Richards, who co-manages the GBP 1.3 billion (USD 1.7 billion) Strategic Bond Fund, said the fund completely exited U.S. Treasuries two months ago and now holds only small amounts of Treasuries across four other funds he helps manage. Richards cited signs the U.S. economy is "overheating," which he said makes U.S. rate hikes more likely than in Europe, reducing the appeal of U.S. government bonds. He said this is the first time in nearly a decade that the Strategic Bond Fund has held no U.S. Treasuries.