A Little History Lesson – First Bond Index

By: Russ Kamp, Managing Director, Ryan ALM, Inc.

Kuhn Loeb & Co. (there’s a name from the past) introduced the first bond indexes in the summer of 1973. It included:

Kuhn Loeb Bond Index = 3,650 investment grade corporate bond issues with MV = $120.1 billion

Long-term Corporate bond index = 1,481 issues with MV = $66.0 billion

Government/Agency bond index = 361 issues with MV of $138.4 billion.

Art Lipson was the head of fixed-income research and the inventor of these indexes. Ron Ryan, CEO, Ryan ALM, Inc. went to work for Art at Kuhn Loeb in early 1977 which was merged into Lehman Bros. in late 1977. Art decided to be a salesman and Ron took over as head of fixed-income research. 

Ron went on to design most of the popular Lehman bond indexes, including the Aggregate Index, which remains the industry’s primary bond benchmark today. If you desire insight into how to consistently beat the Aggregate Index, Ron is your man. His incredible insights have been recognized for decades, including being awarded:

William Sharpe Index Lifetime Achievement Award

  Money Management Letter Lifetime Achievement

Book “U.S. Pension Crisis” – IP Gold Award

  Bernstein Fabozzi Award of Excellence

I continue to learn new things every day from Ron despite being in this industry for 41 years and I know that you will, too. Thanks, Ron, for being a true visionary.

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