Have U.S Treasurys risen to such engorged levels that they may burst? Some believe this may happen, which would cause investors to quickly dump government bonds. But others believe this could also be a good time to get back into equities.
"Bonds currently have all the hallmarks of a bubble," Chris Hyzy, chief investment officer at U.S. Trust, Bank of America Private Wealth told CNBC's "The Strategy Session" on Monday.
"Overall when you look at this transformation of money, there is an over allotment of money in fixed income—$600 billion in positive flows in the fixed income funds since early '08, negative $240 billion into equities," Hyzy said.
There are many factors "forcing yields lower and forcing people back to the risk aversion camp"—when an investor is faced with two investments with a similar expected return (but different risks), they will prefer the one with the lower risk, he said.