Jeremy Grantham, Jonathan Jacobson, Seth Klarman and Jeffrrey Vinik: “Below the Radar” Philanthropy of Top Investors to Social Causes

The Boston Globe profiles philanthropy by leading investors. Jeremy Grantham’s foundations, including the $377 million Grantham Foundation for the Protection of the Environment, reflect a movement toward “making big bets on social change philanthropy,” according to Paul Grogan of the Boston Foundation. This is a shift apparent in Grantham’s own remarks: he noted that giving to traditional recipients of philanthropic dollars (such as arts and medical institutions) is “better than nothing. But it isn’t as… Read More

A Bearish View from GMO’s Grantham

Ben Inker and Jeremy Grantham of Grantham, Mayo, Van Otterloo & Co. issued a quarterly letter suggesting the bull market cannot last much longer. Inker writes that the U.S. has been outperforming for decades but attacks the idea that US stocks are inherently superior even as they grow more expensive. “We cannot completely reject the possibility that those arguments are correct,” he says, “but the evidence seems pretty thin.” Grantham points to the need to… Read More

Grantham Says Our Bias Toward Good News Makes Us Manipulable

In a recent Barron’s excerpt of a longer article, Jeremy Grantham, founder of asset management firm GMO, says Americans “have a broad and heavy bias away from unpleasant data” that makes us “ready to be manipulated by vested interests in finance, economics, and climate change, whose interests might be better served by our believing optimistic stuff ‘that just ain’t so.’” He points to a few examples of propositions that are “widely accepted by an educated… Read More

Focus on Long-Term Food Trends, Not Short-Term Factors, Reese Says

One of the keys to successful investing is knowing the difference between long-term trends and short-term disruptions. That’s what Validea CEO John Reese says, and he says investors who can do that can take advantage of some opportunities in food-related stocks right now. While food prices are down globally over the past year, the factors pushing them lower – Russia’s embargo of US products, China’s slowdown, bird flu fears, and the strengthening dollar – are… Read More

Grantham On The 10 Things That Really Matter

What’s on Jeremy Grantham’s mind? Ten things, and in his second quarter letter, the renowned value investor lays out the lot of them. As usual, Grantham’s areas of interest go far beyond those of most investment managers. Here, from Barron’s, which published his letter, is his list of the 10 things that “really matter”: Pressure on gross domestic product growth in the U.S. and the balance of the developed world The age of plentiful, cheap resources… Read More

What Worries Jeremy Grantham Now

Given that he was one of the few to warn about both the Internet bubble and the housing and credit bubble before they burst, Jeremy Grantham’s worries and concerns about the economy and stock market carry a lot of weight. So what is GMO’s front man concerned about these days? Resources. In an interview with The Wall Street Journal, Grantham reiterates his concern about what he says are looming shortages in food, fertilizer, and metals. “The… Read More

Grantham Talks Growth, Markets, and More

GMO’s Jeremy Grantham recently sat down for a lengthy interview with Charlie Rose, and offered a number of interesting takes on the economy and stock market. Grantham says that the great U.S. franchise company stocks are a bit expensive, but that the balance of the U.S. market is very expensive. Overseas in emerging markets, the picture is better, he says. He’s currently slightly underweight global equities, and heavily underweight U.S. equities outside of those great… Read More

Grantham on a Low-Growth, Overpriced Environment

Equities and other assets have become overpriced (to varying degrees) just about everywhere you look, GMO’s Jeremy Grantham says in his latest quarterly letter. “Courtesy of the … Fed[‘s] policy, all global assets are once again becoming overpriced,” writes Grantham. “But, as always, asset prices are not uniformly overpriced: emerging markets and, we believe, Japan are only moderately overpriced. European stocks are also only a little expensive, but in today’s world are substantially more risky… Read More