Salient to Investors: Paul Tudor Jones at Tudor Investment Corp is believed to have said: US stocks will outperform other equity markets for the rest of 2014. The bubble in global credit will burst one day. If we maintain the status quo on QE, we will end up like Greece
READ MORE... →Salient to Investors: Matt Maley at Miller Tabak said that when people sell liquid US equities stock market when they cannot sell their illiquid assets – the reason for last week’s sharp market sell-off. The IMF said the proportion of corporate-debt securities held by mutual funds has doubled since 2007 to
READ MORE... →Salient to Investors: Dominic Rossi at Fidelity Worldwide Investment said: He is looking to buy markets at these levels, particularly US stocks, amid a sell-off exaggerated and exacerbated by poor positioning from hedge funds. Long-only investors had largely maintained their asset allocations, but there has been a massive contraction of
READ MORE... →Salient to Investors: Eswar Prasad at Cornell and Brookings said: The US economic numbers looks good and the recovery is strengthening, but the rest of the world is weakening and there is a real fear Ebola could become something bigger. Policy-makers in the rest of the world have no room
READ MORE... →Salient to Investors: David Tepper at Appaloosa Management said: P/E ratios for US stocks are not high and junk bonds are at the mid-point of fair value. The US economy is good. The end of the bond market rally started last month when the ECB unexpectedly cut interest rates and
READ MORE... →Salient to Investors: Tim Courtney at Exencial Wealth Advisors said small caps have historically led the way down. Randy Bateman at Huntington Asset Advisors said we have always relied on the Fed pump, but with the pump drying up this month, investors are starting to focus on geopolitical problems and economic
READ MORE... →Salient to Investors: Julian Robertson at Tiger Mgmt said bonds are at ridiculous bubble levels as governments worldwide buy bonds to keep their countries growing. Robertson said the bond bubble will end very badly but is finding equity opportunities in great companies, like Alibaba. Leon Cooperman at Omega Advisors said
READ MORE... →Salient to Investors: The Teacher Retirement System of Texas cut its hedge fund allocation to 8% from 9%, cut equities by 4 percentage points and fixed-income by 2 percentage points, and increased risk parity – a strategy based on allocation of risk and private equity and real assets – and
READ MORE... →Salient to Investors: The S&P 500 has closed at new highs 33 times in 2014, while less than 6% of stocks are in bear markets. 47% of Nasdaq Composite stocks and over 40% of Russell 2000 and Bloomberg IPO Index stocks are at least 20% off their 12-month highs. 45% of
READ MORE... →Salient to Investors: P/E ratios among the 50 largest companies in the S&P 500 Index deviate from the mean by an average 22%, nearly the lowest on record since 1990. An average of 380 Index companies rose in each of the last 5 years, versus 307 in the 1990s. In 2007,
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