They’re projecting future returns and correlations based on past 50 years (the ones we have easily available financial data) on constantly lowering interest rat

They’re projecting future returns and correlations based on past 50 years (the ones we have easily available financial data) on constantly lowering interest rates. If asset inflation already pumped up both long term treasuries and stock assets (which pumped up 3x levered UPRO and TMF), then a follow on interest rate increase will equivalently destroy a stock asset and long term treasury portfolio, triply so for those. They think they’ve found an edge in the market (lol like major financial players don’t know about long term treasury and stock asset inverse correlation the past 40 years), but in reality they’ve just ignored the potential for substantial interest rate increases, because it’s not in their data, and they’re pocketing the extra on top until it blows up (they don’t realize it will).