Wells Capital Management Chief Investment Strategist James Paulsen is sounding optimistic on the economy, and today explained to Bloomberg TV the reasons for his belief that the solid growth is on the way. Paulsen says that stimulus plans generally come with a significant lag time (as much as a year), and, because of that, much of the government’s massive stimulus has yet to hit Main Street. He also says that many pundits are underestimating the… Read More
One of the many impacts of last year’s market meltdown was the huge shakeup to stocks’ style box classifications. With most stocks losing a quarter to half of their value — and some of the largest companies being decimated — definitions for “large-cap”, “mid-cap”, and “small-cap” were turned on their heads. And, writes Investment News’ Jeff Benjamin, that appears to have given smaller money managers and individual investors an advantage over big investment firms. Benjamin… Read More
Tom Forester, whose Forester Value Fund was the lone diversified stock fund to make money in 2008, is taking profits on some of his 2009 winners, but thinks third-quarter earnings season should be pretty solid because of the government’s massive stimulus efforts. According to Investment News, Forester — whose fund is lagging the S&P this year (it’s up 11.65% vs. 18.52% for the index) — is cautiously optimistic heading into the fourth quarter. “Right now… Read More
Mark Mobius, manager of Templeton Emerging Markets Investment Trust says that emerging markets have a lot of room left to run, and that “frontier markets” — those in the very early stages of developing, like Vietnam, Romania, and Kenya — are “where it’s at”. Mobius tells the U.K.’s Telegraph TV that a big reason for his optimism is that money supply is “growing at a rapid pace globally and there’s a lot of money coming… Read More
In an interview with MarketWatch’s Chuck Jaffe, Blackrock Global Chief Investment Officer of Equities Bob Doll gives his take on what to expect from the economy and the markets as we move past the financial crisis and recession. The “new normal” Doll envisions isn’t as bleak as some have described, but it’s also not euphoric. He thinks it may look something like what we saw in the early 1990s, before the Internet and credit bubbles… Read More
Each week, I take a look at which stocks my Validea.com Guru Strategy computer models have newfound interest in, and which they have soured on. Here’s a look at some of the stocks that my strategies have upgraded or downgraded today. Among the big-name movers: Google and United Technologies.
Marc Faber of the Gloom, Boom & Doom Report says that the U.S. is headed for major trouble in the long term because of the impending implosion of the dollar — but in the short term, he’s buying stocks, reports Yahoo! TechTicker. Faber, one of the few to see the credit crash coming, says that with interest rates so low, investors should be buying up assets like stocks, commodities, and real estate in the next… Read More
While many are predicting that the depth of the economy’s troubles will mean a “slow-burn” or muted recovery, James Grant writes in The Wall Street Journal that he’s expecting something much different. “Not famously a glass half-full kind of fellow, I am about to propose that the recovery will be a bit of a barn burner,” writes Grant, the editor of Grant’s Interest Rate Observer and author of The Trouble with Prosperity. “Americans are blessedly… Read More
In his latest Forbes column, newsletter guru Jim Oberweis says that investors should own “disrupters” — firms whose new, innovative products are challenging more established companies in their industries. Some of the most well known “disrupters” have been firms like Microsoft, Google, and Amazon, which — despite their current status as corporate giants — began as small, creative upstarts. While finding the next Google or Microsoft or Amazon is easier said than done, Oberweis says… Read More
Robin Geffen, one of the U.K.’s most successful fund managers, says that the balance of power is shifting in the global economy, and that emerging market nations offer opportunities for big investment returns in a post-financial-crisis world. Geffen, fund manager and managing director of Neptune Investment Management, says that in the decade leading up to the recent crisis, the U.S. consumer was the strongest source of demand in the global economy. “[But] the global economic… Read More