Jeff Gundlach on bloomberg excellent interview

Jeff’s overview

as always… some common sense might make some sense and i feel quite close to Jeff’s reading.
I would add that trying to make high single digit return when basically short term “risk free” investment do not return anything… is becoming harder and harder. The global QE’s policies around the world have lifted asset prices to maybe … too rich levels so investors might at some point in time start to feel a bit more uncomfortable.
Anyway, as Jeffs says… longer term horizon investments has become a harder task since rules have been changing quite a bit.
As an investor you might and or get to think that…. since anytime the market goes down… it comes back so the strategy of buying the dip is the right thing to do . Might work for a while and sounds like a bubble since fundamentals do not matter too much until…
Or you might think…. if i stay 95% cash/ short term and 5% into equitities… a 10% in equities will provide me with at least twice the “risk free” investment return
Overall… I feel that there is a consensus among investors than sometime down the line… there will be great lifetime opportunities. The problem with that is… people might get too much in a hurry when a correction comes and might get hurt thinking they are doing a great deal.
The japanese have been waiting for decades now so.. patience might be the most important virtue /quality that investors should carry in their bag since most bas investment decisions… become long term investments


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s