Prognostications that there's a bond bubble ready to burst look overstated, said one panelist at the TD Ameritrade conference in San Diego on Friday.
Shane Shepherd, the head of fixed income research at Research Affiliates, said during a panel on ETFs that interest rates will be 2 percent at this time next year. The Federal Reserve's commitment to keep short-term interest rates low through 2015 is "a powerful statement," Shepherd said.
He also said that the country's debt overhang will take a long time to sort out and that will continue to keep growth sluggish and rates low.
"We have a path to get to a sustainable debt-to-GDP ratio," he said, "but it will take a very long time. Ten years from now we're going to be halfway there if we're lucky." (Read More: Tax Reform Will Be a 'Death Struggle': Alan Simpson)
He also said that the calls for a "great rotation" out of fixed income and into stocks in anticipation of higher interest rates are misplaced. If yields