Money and Finance
- Deleveraging, What Deleveraging? - The 16th Geneva Report On The World Economy
Link to report: Deleveraging, What Deleveraging? It is widely accepted that high levels of debt (of various forms) have played a central role in the 2008-09 global financial crisis, the 2010-12 euro crisis and many previous crisis episodes. The adverse...
- Which Way For Bonds? Mapping A Path Forward - By Bill Gross
Q: Can you explain what is happening in markets now? Gross: In 1980, the Federal Reserve, led by Paul Volcker, tightened the quantitative noose to tame double-digit inflation, fueling an unprecedented tailwind for bond prices. Thirty years later...
- Bill Gross – March 2011 Investment Outlook: Two-bits, Four-bits, Six-bits, A Dollar
Many critics, though, including yours truly, would wonder whether Quantitative Easing policies actually heal, as opposed to cover up, symptoms of an unhealthy economy. They might at the same time ask simplistically whether it is possible to cure a debt...
- Fpa Funds - Buyer’s Strike Revisited
June 16, 2008 marked the five-year anniversary of when we drew our line in the sand by penning “Buyer’s Strike.” Our stance at that time was that “we are on a buyer’s strike in regard to the high-quality segment of the bond market.” We argued,...
- Investing Is An Expectations Game
A thing long expected takes the form of the unexpected when at last it comes. - Mark TwainIn such a low-interest rate environment, why would the market allow companies to trade with 8%+ free cash flow yields -- even after considering a reasonable...
Money and Finance
Bill Gross – June 2012 Investment Outlook: Wall Street Food Chain
Soaring debt/GDP ratios in previously sacrosanct AAA countries have made low cost funding increasingly a function of central banks as opposed to private market investors.
Both the lower quality and lower yields of such previously sacrosanct debt represent a potential breaking point in our now 40-year-old global monetary system.
Bond investors should favor quality and “clean dirty shirt” sovereigns (U.S., Mexico and Brazil), for example, as well as emphasize intermediate maturities that gradually shorten over the next few years. Equity investors should likewise favor stable cash flow global companies and ones exposed to high growth markets.
- Deleveraging, What Deleveraging? - The 16th Geneva Report On The World Economy
Link to report: Deleveraging, What Deleveraging? It is widely accepted that high levels of debt (of various forms) have played a central role in the 2008-09 global financial crisis, the 2010-12 euro crisis and many previous crisis episodes. The adverse...
- Which Way For Bonds? Mapping A Path Forward - By Bill Gross
Q: Can you explain what is happening in markets now? Gross: In 1980, the Federal Reserve, led by Paul Volcker, tightened the quantitative noose to tame double-digit inflation, fueling an unprecedented tailwind for bond prices. Thirty years later...
- Bill Gross – March 2011 Investment Outlook: Two-bits, Four-bits, Six-bits, A Dollar
Many critics, though, including yours truly, would wonder whether Quantitative Easing policies actually heal, as opposed to cover up, symptoms of an unhealthy economy. They might at the same time ask simplistically whether it is possible to cure a debt...
- Fpa Funds - Buyer’s Strike Revisited
June 16, 2008 marked the five-year anniversary of when we drew our line in the sand by penning “Buyer’s Strike.” Our stance at that time was that “we are on a buyer’s strike in regard to the high-quality segment of the bond market.” We argued,...
- Investing Is An Expectations Game
A thing long expected takes the form of the unexpected when at last it comes. - Mark TwainIn such a low-interest rate environment, why would the market allow companies to trade with 8%+ free cash flow yields -- even after considering a reasonable...