Salient to Investors: Jeremy Grantham at GMO said: The slow recovery is due to the Fed’s actions. In the 1980s the US had an aggregate debt level of 1.3 times GDP versus 3.3 times debt now and yet GDP has been slowed – showing that more debt or QE does
READ MORE... →Salient to Investors: Jonathan Gray at Blackstone said: The institutional buying wave has passed and Blackstone’s acquisition pace has declined 70 percent from its peak last year Blackstone has narrowed most of its purchasing to Seattle, Atlanta, Miami, Orlando and Tampa. Institutional buyers are tapering their buying and are
READ MORE... →Salient to Investors: Bill Gross at Pimco said: If central banks can convince investors that their policies can reproduce the old normal economy, then risk assets will have higher future returns and outperform cash, trickling down to respectable growth rates and lower global unemployment. Central banks must shift to qualitative
READ MORE... →Salient to Investors: Home prices are rising faster than incomes in much of the US. Thomas Lawler at Lawler Economic & Housing Consulting said the decline of first-time homebuyers, hurt by rising prices and tougher credit standards threatens to widen the wealth gap between owners and renters. Lawler said potential
READ MORE... →Salient to Investors: Catherine Yeung at Fidelity Investment Mgmt is advising calm, adding that profits are rising and shares just got a lot less expensive as being a contrarian and buying when things seem bad is often a good thing. Goldman Sachs to AMP Capital Investors and JPMorgan Chase are
READ MORE... →Salient to Investors: Jason Brady at Thornburg Investment Mgmt recently bought Treasuries as yields approached a 2-yr high of 3 percent. Brady said every single strategist decided towards the end of 2013 that stocks were the best thing in the world and bonds were the worst thing in the world
READ MORE... →Salient to Investors: Pew Research Center said: The world population over 65 years old will triple by 2050, drastically altering some countries’ demographic make-up as more elderly people depend on working-age men and women. 87% of Japanese believe its ageing population poses a problem, but only 26% of Americans agree. Most
READ MORE... →Salient to Investors: David Kelly at JPMorgan Funds said the Fed looks justified in continuing to taper given economic momentum and recent sharp declines in the unemployment rate. Kelly said assuming the volatility in emerging markets subsides, this economic report should bolster the case for both higher interest rates and
READ MORE... →Salient to Investors: Jeremy Siegel at Wharton said: No bull market rises in a straight line so this is a correction only and typical of a market climbing a wall of worry. Dow headed to 18000 by year-end. Fair market value is $18000 as the S&P 500 has sold for an
READ MORE... →Salient to Investors: Kristin Forbes at MIT said Bernanke was incredibly creative in the different steps and programs he took to prevent a free fall of the global economy, and made decisions with highly imperfect information, necessary in a crisis. Vincent Reinhart at Morgan Stanley said the Fed legacy is
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