Future stock market returns (13/04/2016)
Roger Montgomery is the Founder and Chairman of Montgomery Investment Management. Roger has over three decades of experience in funds management and related activities, including equities analysis, equity and derivatives strategy, trading and stockbroking. Prior to establishing Montgomery, Roger held positions at Ord Minnett Jardine Fleming, BT (Australia) Limited and Merrill Lynch.
This post was contributed by a representative of Montgomery Investment Management Pty Limited (AFSL No. 354564). The principal purpose of this post is to provide factual information and not provide financial product advice. Additionally, the information provided is not intended to provide any recommendation or opinion about any financial product. Any commentary and statements of opinion however may contain general advice only that is prepared without taking into account your personal objectives, financial circumstances or needs. Because of this, before acting on any of the information provided, you should always consider its appropriateness in light of your personal objectives, financial circumstances and needs and should consider seeking independent advice from a financial advisor if necessary before making any decisions. This post specifically excludes personal advice.
Clement
:
Thanks Roger.
Being a medical practitioner, I am well aware of issues of addiction among my patients. Likewise, in financial markets or real estate, I can sense the issue of addiction with a lot of investors or traders. By keeping the cash rate so low for so long, we are all addicted to cheap credit. Even Mr Buffett was not very happy with negative cash rate in Europe as it has distorted pricing. He says he needs a big mattress for his cash in Europe.
To treat addiction in medical term, is (1) detox (2) keep giving the drug addicts what they need, which you know that they will need higher dose to achieve the same effect.
I wonder if the treatment of credit (debt) addiction will be similar to the medical ones.
Clement
Stephen Reeves-Williams
:
Roger,
Thank you very much for that straight forward opinion/analysis on Markets in the current economic environment.
It cuts through the white noise provided by commentators who can change opinion on any given day following the Wall Street lead or the opening of the Shangai market or the commodity trade on the London Metal Exchange.
For those of us who would otherwise be swept away by the hype and despair of daily market trades, having our hard earned money in the hands of a fund management team that clearly articulates it’s views whilst providing realistic guidance on expected growth; ensures that our trust in that team remains high.
The efforts of the Montgomery Investment Team to keep investors appraised of current thinking is greatly appreciated by me, and I’m sure by others.
Roger Montgomery
:
Thanks for the encouraging words Stephen.