Goldman’s playbook for profiting from rising rates is working. Here’s what’s in it

Goldman’s playbook for profiting from rising rates is working. Here’s what’s in it

A "Sold" sign is displayed outside a home under construction at a Lennar Corp. development in Montgomery, Illinois.

One investing strategy to find winners in a rising interest rate environment is already paying off in 2021, according to Goldman Sachs.

The benchmark 10-year Treasury yield pushed higher again on Friday morning, putting it near its recent highs as investors prepare for the possibility that bond yields to continue their upward march.

One strategy that is working so far is finding stocks with short duration, Goldman strategists said in a note.

Duration is a measure of how quickly a company can repay shareholders through earnings.