Salient to Investors: Ray Dalio at Bridgewater Associates said: 2013 will be a game changer for the economy as investors reallocate money – currently getting very bad returns – after risks including Europe’s sovereign debt crisis receded. Money will move into stocks and other assets, as well as into goods and services Central banks
READ MORE... →Salient to Investors: Tim Jagger at Aviva Investors Asia said the economic data since November has silenced many China bears, and China’s property companies have never had the opportunity to fund at such attractive rates. Jim Chanos at Kynikos Associates warned last month of a credit bubble, and said profits at
READ MORE... →Salient to Investors: Gary Cohn at Goldman Sachs said: He is bullish on global stock markets as investors shift money from bonds to equities as interest rates rise. The cause of rising interest rates, greater economic activity and growth, will be very positive for our business. Shares in top companies offer
READ MORE... →Salient to Investors: Joseph Stuber writes: Stocks could reach the all-time high on the S&P of 1576 in 2013 driven by its momentum, but then the market will broadly sell-off to October 2011 lows of 1074. A correction to the 2009 low of 670 is possible on pure fundamentals, given
READ MORE... →Salient to Investors: Gary Cohn at Goldman Sachs said junk-bond yields at record lows may face substantial repricing if interest rates spike or investors exit fixed income. Cohn said that at some point, interest rates will rise and some of the money that has piled into fixed income over the past 3 years
READ MORE... →Salient to Investors: The Fed is expected to affirm its accommodation on Jan. 29-30. Julia Coronado at BNP Paribas said we’re in uncharted territory, and as the easy money flows through financial markets and into the real economy at some point, the US faces many risks. Michael Hanson at Bank
READ MORE... →Salient to Investors: Phil Mause at Pacific Economics Group writes: Investors should buy up dividend stocks, business development companies (BDCs), REITs and other investments yielding more than bonds. A dividend stock led stock market could rise considerably – dips will be shallow as many investors will be waiting to get in.
READ MORE... →Salient to Investors: The world’s biggest investors are moving away from allocating money to government bond markets based on their amount of debt – a preference that has favored the largest borrowers for three decades. Allocations of bond funds based on GDP are still a small part of the total. Indexes based
READ MORE... →Salient to Investors: Bloomberg survey of global investors: 38 percent, the highest, expect the US to be in the top two markets over the next year, followed by China. 53% say equities offer the highest return in the next year, the most since the poll began in July 2009. Nearly
READ MORE... →Salient to Investors: Doug Short at Advisor Perspectives writes: Statistics says that 99.7% of all daily movements should fall within three standard deviations of the mean, but Deutsche Bank research shows that three standard deviation movements are not as rare – some instances, like the 2008 financial collapse, happen over 25% of
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