An unexpectedly bearish BlackRock Chief Executive Larry Fink said the U.S. economy is in the midst of a slowdown and financial markets could see a significant setback. "I see a lot of dark shadows," he said at an event hosted by Yahoo. "The markets are probably ahead of themselves."
“The big picture for investors is this: Trump is high volatility, and investors generally abhor volatility and shun uncertainty... If things go wrong, we could find ourselves at the beginning of a lengthy decline in dollar hegemony, a rapid rise in interest rates and inflation, and global angst...”
"One month into the year, the balance of risks is somewhat less positive for three reasons. First, the difficulty congressional Republicans have had in moving forward on Obamacare; Second, while bipartisan cooperation looked possible following the election, the political environment appears to be as polarized as ever; Third, some of the recent actions by the Trump Administration could be disruptive for financial markets and the real economy." - Goldman Sachs
"This environment is undoubtedly better for active investing – just as active investing was considered to be on its deathbed. Higher rates will create opportunities, reversing the one?way trade in yields that dampened the past few years."
“Nationalism, protectionism and militarism increase global tensions and the risks of conflict. For these reasons, while we remain open-minded, we are increasingly concerned about the emerging policies of the Trump administration,”
"I want to be loud and clear: populism scares me... policy makers need to 'man-up' and pay for the social cohesion that we need to keep our societies advancing... it probably means more redistribution than we have in place at the moment and accept that this may be a higher tax burden on people..."
How do you know with certainty that Davos has not only jumped the shark, but is now an outright parody of what itself? One answer: when you have a handful of semi, and non-semi billionaires, confused by the populist backlash of the past year, sit down and discuss among each other how a "Squeezed and Angry" middle-class should be fixed.
To date, a total of 35 of the richest 500 people in the world have emerged from the storied halls of Harvard. In fact, more billionaires have graduated from Harvard than all of those hailing from Saudi Arabia and Spain combined.
BlackRock’s quant hedge-fund strategies were on track for losses in 2016, according to a monthly client update sent out in late December, and according to Bloomberg, of the five included, four were set for their worst returns on record.
"Some of these pre-term policies, where he’s cajoling companies to move production back into the United States, that’s fine, but it reminds me to some extent of policies in Italy long ago associated with Mussolini and government control of corporate interests" - Bill Gross