Jan 25 - Hedge fund managers attending the 2013 GAIM conference in Boca Raton, Florida explain why after years of favoring fixed income, they are ready to put their money back into U.S. equities.
This Smart money crowd descended on Boca Raton Florida this week for the game hedge fund conference. Market calls were 2013. And beyond. We are very very worried about them on to bubble that says something that could last decade as far as its -- I think investor should have no fixed income. They should use equities and they should use cash. In a while -- strategy based on the risk appetite. To generate returns I think bonds are overpriced and usually exit bombs I think the thirty year bull market in interest rates is essentially. Over our adult lifetimes have been lived in this massive bull market -- interest rates and I think the next thirty years just can't possibly look anything like the last. What are the things that managers mentioned time and time again is that after years of focus and fixed income. It's finally it's time to go back and the -- I do think that for the longer term. Stocks are very good place to be invested and they -- great opportunities both -- -- I think for the first time in probably almost. Ten years. The equity markets the United States are going to stop remaking themselves. I think master limited partnerships are terrific -- generally strategy and I think MLB's. Give you the same sort of volatility is high yield bonds -- whether it's and I think dividend yielding stocks are great investment. I think dividend nearly so it's been an equity market hedge or a great investment and I think broad equities looking for growth strategies. For the first time in about twenty years. Japan has an interest in place to invest it because you finally. Got a government. That has decided that it will not tolerate deflation anymore I think the yen weakened. Significantly. What does that mean it's -- means north of 200 in the end of the dollar -- it -- I think we have to realize this. When your jets -- 24 times -- central government tax revenue. And you have a secular decline in population and all of the things are finally catching up to you what happens when you have a debt crisis -- your currency collapses.