The New Fed Chair Only Knows High Inflation and That Matters

The New Fed Chair Only Knows High Inflation and That Matters

Fri, September 11, 2026 at 9:56 PM GMT+3 2 min read

All eyes are on the Fed with another higher than expected reading for core inflation. Jeff Klingelhofer, CFA, Managing Director, Portfolio Manager & Senior Research Analyst, Securitized Assets at Aristotle Pacific, talks with host Brad Roth on this episode of Behind the Ticker about why the new Fed Chair stepping into an environment of high inflation matters for investors and bonds, and what that means for how the firm is positioning their strategies that include three new ETFs, the Aristotle Core Plus Income ETF (ARCP), the Aristotle Multi-Sector Income ETF (ARMS), and the Aristotle Short Term Income ETF (SDUR).

You can also watch this conversation here or on our YouTube, as well as find it on any of your preferred podcast streaming platforms.

• A non-traditional path to fixed income: Jeff Klingelhofer started at PIMCO, moved through Tokyo and London, then took an unexpected detour into a five-person hedge fund during his Chicago MBA. That experience shaped his career trajectory, from building Thornburg's taxable fixed income desk from scratch to joining Aristotle Pacific in 2024.

• The relative value philosophy: Instead of chasing yield by taking more risk within a single asset class, Klingelhofer compares opportunities across all of fixed income, including corporates, ABS, CLOs, bank loans, and more. His go-to example: in 2020, an American Airlines corporate bond and its aircraft-backed EETC priced identically, but a month later one traded at 27 cents on the dollar while the other held at 65 cent, proof that siloed desks miss cross-market mispricing.

• Three ETFs, one philosophy: Aristotle Pacific's new suite of SDUR (short-term income), ARCP (core plus), and ARMS (multi-sector income) applies this relative value lens across the risk spectrum, each targeting a different level of duration and credit exposure. All three aim to outperform passive benchmarks through active security selection rather than added risk.

• A contrarian macro read: Klingelhofer believes new Fed Chair Warsh faces a fundamentally different challenge than his predecessors in managing an already high-inflation world rather than transitioning into one. That view has the funds positioned slightly long duration, used deliberately as a hedge against credit risk elsewhere in the portfolio.

To learn more about Aristotle Pacific, go here, or you can learn more about their new ETFs here.

Follow Jeff Klingelhofer on LinkedIn.

Disclaimer: The market insights, projections, and investment strategies expressed in this article are solely those of the contributor and do not necessarily reflect the views or opinions of ETF.com. This content is provided for informational purposes only and does not constitute financial, investment, or legal advice.

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