Gardner Looks to Inflation-Fighters

Tom Gardner, co-founder and CEO of The Motley Fool, says he thinks the next ten years will be a much different story for stocks than the past ten years, and says investors should be keying on companies that have the ability to raise prices in an inflationary environment. In a wide-ranging interview with The Fool’s David Kuo, Gardner talks about both his broader approach to investing, and the current state of the market. While many… Read More

Romick Looks to Inflation-Fighters

Top fund manager Steven Romick says that in the current environment, he’s focusing on companies that will be able to handle inflation well. “I’m investing in companies we feel can be protected against inflation, with pricing power that could rise as fast as their costs,” Romick says in an interview with BusinessWeek. He also talks about his overall investing approach, and some broader stock market topics, including volatility. “Volatility is more a measure of opportunity… Read More

Paulson: Buy a House — and then Buy Another

Hedge fund guru John Paulson is continuing to bet on big-time inflation hitting the U.S., and as a result is keying on equities, gold, and real estate. Forbes’ Robert Lenzner reports that Paulson, speaking at the University Club in New York, said double-digit inflation will hit by 2012, pounding the bond market and strengthening equities. Among the stocks he likes: Johnson & Johnson, Citigroup, and Coca-Cola. Paulson also sounded very bullish on housing. “If you… Read More

Arnott Still Focused on Inflation, Not Deflation

While many investors and commentators have raised fears of deflation recently, Rob Arnott of PIMCO and Research Affiliates still has his eye on potential inflation — and the opportunities it could present for investors. Arnott tells the Los Angeles Times that concerns about deflation could actually end up resulting in inflation. He thinks deflation fears will soon mushroom, the Times reports, and as federal stimulus spending winds down he sees a “pretty good likelihood of… Read More

Gross Fund Has Lowest-Ever Treasury Allocation

Bond guru Bill Gross has been sounding bearish on U.S. debt in recent interviews, and The New York Times reports that in addition to talking the talk, he’s also been walking the walk. Gross’ flagship PIMCO Total Return Fund now has only about 30% of its assets in U.S. government debt, the lowest level in its 23-year history, according to the Times. That’s down from about 50% just nine months ago. Gross is wary of… Read More

Hussman Defensive as More Credit Woes Loom

John Hussman is continuing to maintain a defensive position on stocks, saying that two dangers — an overbought, overvalued market and the coming to roost of a second wave of credit losses — mean investors should be cautious. “It is important to note that our current defensive position is driven by the present combination of overvalued, overbought, overbullish conditions, coupled with upward yield pressures, and is independent of my larger concerns about the potential for… Read More

Dreman on Fighting Inflation

As the past couple years have shown, it can be risky to own stocks. But, Forbes‘ David Dreman says, steering clear of equities is also a gamble. “Is it risky to own stocks? Sure — it always was,” Dreman writes in his latest column. “But it’s also risky not to own them. If you have all your money in bonds you run the risk that inflation will come back and ruin you. I consider inflation… Read More

Siegel on Inflation, Interest Rates

Author and Wharton Professor Jeremy Siegel says he thinks the Federal Reserve will likely raise interest rates “modestly” by this coming spring — earlier than many expect. But, he tells Bloomberg, it will be some time before we see significant inflation. Siegel says that he thinks inflation won’t be much of a threat for a couple years, and that when it does kick in, it won’t come close to the double-digit figures some have predicted.… Read More

Dreman: Correction, Major Inflation Coming

Noted contrarian investor and author David Dreman says a correction is coming for the stock market — but he says investors are best off just holding their ground and riding through it. In an interview with Fox Business, Dreman says it’s too hard to tell exactly when the correction will occur. And, given his belief that stocks are headed higher over the longer haul, he says investors shouldn’t try to time the correction. Dreman also… Read More

… but Buffett Steering Clear of Bullion

While one of the world’s best investors, John Paulson, is making a big bet on gold, another — Warren Buffett — is looking elsewhere. David Pett of Canada’s Financial Post notes that Berkshire Hathaway’s latest holdings disclosure “indicates that the world’s greatest investor isn’t loading up on gold or precious metals. Indeed, he lists no mining companies among his holdings.” The lack of gold in Berkshire’s portfolio is notable, Pett says, because Buffett has said… Read More