end, jeffrey gundlach is hot right now, and everybody knows in. but here is the thing.e is sort of the last of a dying breed. beyond him, can you name any famous fund managers? julie: certainly not with etf's. if buffett launched an etf, it would be an instant home run. just sit back and watch gundlach defined the ontario. julie: and there is a bit of caution if this has been underperforming. points.sis that is more expensive than his institutional class but cheaper than his retail class. if you are in retail, mutual fund, the etf would be cheaper. have betterd also tax deficiency with not issuing capital gains. performance wise, it is underperforming a little bit. he is overcoming two major obstacles, underperformance and a seachange to passive. julie: let's take a look at that active to passive tension we have seen. aside, are we going to see any kind of reversal? is it done for active etf's? eric: i thought so but there is a white light on the horizon, and it is ironic. vanguard to be the one to save active etf's. they just launched in canada and london and are pacin

still ahead, bond investor jeffrey gundlach warns that the starvation for yield is creating "mass psychosiss the market listening? we will discuss next. this is bloomberg. ♪ vonnie: you are watching "bloomberg markets." i am vonnie quinn in new york. mark: live in london, i mark barton. this is bloomberg television. vonnie: after the russian to bonds last week, it will be a hard time to make money, all according to jeffrey gone lot. he says there is something of a mass psychosis going on related to the so-called starvation for yield. call me old-fashioned, but i don't like investments where you do not make any money. it seems like the market is not really ready to listen. mark: check out the latest auction in germany. this is the 10 year bond auction that took place earlier. for the first time, germany sold 10 year yields with a negative yield for the first time. tommy about the u.s. treasury yield low. vonnie: you can see it's all over the place really. this is the two year at 66 basis points. if we look at the 10 year and my terminal, just type in u.s. gigi 10 year index and you can see t

united states, because 84% believe that the election could wreak havoc on their portfolios, and jeffrey gundlachl groves saying that it is risky to trace that from here. and to ohave more on that, we have chief fixed asset ceo from blackrock, and also, the head of equities at canter fitzgerald. and bill, as the market is moving higher, have the concerns gone greater or less because of the underpinnings of the market may be changing? is >> well, the concerns are still there. you have to look at the big percentage moves. i mean, you know, down 6% after brexit, and now we have rallied back up 8%, and perhaps every percentage point that you are rallying it appears to be late. so we are in a pendulum, and you have heard about the big cash levels that the high net worth investors are holding, but there is a concern out there, and perhaps that is why we are pushing higher, and climbing the wall of walls. >> and looking at the co composition, and the rotation in the market is different, and the you t utilities and the telecoms are up, and they have propelled you to the level, and you have a financials t

david: now to the morning must read -- jeffrey gunned the lack -- gun the luck -- jeffrey gundlach saidt seems like a reasonable position and bill gross is emphasizing that sovereign yields are dangerous. tom: there is no question the alarm is there. the why of this is very clear. it's not a mask psychosis but -- it is not a mass psychosis. the liquidity in the system is making a huge demand with the price up and yields down. make isinction i would how we unfold this. if we say we are here and that fear that you hear from a sophisticated bond pro is the idea of what's next. david: is there a soft landing to this? the yields don't go down forever. tom: there was a page written in the 40's out of over lynn college which is about dampening functions. will we have the fixed income market and the financial system b eight dampening function or you get a jump condition with leads to fear? hugeunflach looks at losses for hedge funds. david: they become risky at some point. tom: save haven becomes risky but i would's suggest there are different kinds of safe havens. switzerland is a geography of

. >>> and jeffrey gundlach said he's been selectively betting against the s&p.h i don't know whether you can selectively -- it's at new highs. got to be really selective. and continues to favor emerging market bonds over high yield debt. he has repeatedly said gold is the better alternative against the backdrop of what he says is an insolvent banking system. and i'm talking about europe. and that is -- that's a statement headed toward insolvency. we know about the italians. >> krae. some look to be priced for it. >>> two prominent members of the fed making statements. one saying the fed has time to allow the healing process before making any moves. separately cleveland fed president loretta mester said it will be on the table for every meeting of the fed but the timing will depend on economic performance. both mentioning inflation as a top concern. >>> and i love days like this. really. i mean, i really do. it's not a man crush really. because i like -- >> bromance. >> it's a bromance. here on set with us is former dallas fed president richard fisher. i want to

jeffrey gund lack. the billionaire investor says he's been selectively betting against the s&p 500 and continues to favor merging market bands over high yield. gold is the better alternative to treasury stocks right now. gundlach. speaking of stocks we'll continue summer sizzling series right now. joins me now with the latest. >> reporter: good morning we continue the list of summer sizzlers today. looking at the top five sectors in the s&p 500 over the past six years so far telecom is the fifth best performing followed by tech at number four. what is number three, consumer staples. consolation grands is the 10.6 return on average. helping transform the company in the past six years. look at the stock. it's climbed more than 900%. another sizzler, monster beverage with an average return of 5%. followed by mondelez. >> morning star highlights that the sector offers attractive dividends with many offering a 3% yield over that period. and other staple purchases. wolf back over to you. >> yes, indeed. after the break more to come here from 10 downing street. the official home of britain's prime minster. we speak to british political historian to explore it will importance of a handover without an election and what