Focus on intermediate credit ETFs, says BondBloxx ETFs co-founder Joanna Gallegos

Summary

Dominic Chu interviews Joanna Gallegos of BondBloxx ETFs on ETF Edge about bond positioning after Kevin Warsh's Fed chair nomination. Gallegos expects no near-term rate cut in March or April, a temperate first half, and lower long-term rates. She recommends focusing on intermediate credit, particularly intermediate triple-B investment grade, and says to stay intermediate for 2026.

• Kevin Warsh nominated as Fed chair; bond market outlook discussed.
• Gallegos sees first half rates as more of the same, with no March/April cut.
• Longer-term view is that rates will fall.
• Recommendation: focus on intermediate credit.
• Within investment grade, she favors triple-B for yield pickup.
• Triple-B intermediate was a strong Q4 trade and still looks good.
• Last month's risk-off favored the shorter end of triple-B.
• 2026 recommendation is to stay intermediate.