Companies typically borrow money at less than their return on equity and therefore compound their return at the expense of lenders.
BILL GROSSDamn inflation, full speed ahead,’ Greenspan has said in both action and word. I think an investor should believe him and invest accordingly.
More Bill Gross Quotes
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Slow growth and inflation have a tendency to accompany large deficits and increasing debt as a percentage of GDP.
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Whenever I read the newspaper, I say to myself, ‘At least my wife loves me.’
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Bernanke and company are trying to reflate the economy with almost stated objective of inflation at 2 percent and higher in order to provide some type of safety margin for a future recession. That’s where they want to go.
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You know those adages about smelling the roses and chasing butterflies? The markets are my butterflies and my roses.
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Even if a country can print its own currency and write its own cheques.
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With all this consumer debt, business debt, government debt, smaller movements in interest rates have a magnified effect. a small movement can tip the boat.
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Imperceptibly, the developed world’s manufacturing base was gradually eroding and being replaced by securitized finance that destroyed itself and nearly its economies in 2008.
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When you’re underperforming the index, you go home at night and cry in your beer. It’s not fun, but who said this business should be fun. We’re too well paid to hang our heads and say boo hoo.
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Ex-Fidelity mutual fund manager Peter Lynch was certainly brilliant in one respect: he knew to get out when the gettin was good.
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Well, I, you know, I think at PIMCO we always try and be open with the press and the public. I mean, isn’t that what voters want from their politicians? Mohamed El-Erian, our CEO, writes several op-eds a week.
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If companies don’t know that they can run out of money, they won’t be thinking of ways not to run out of money.
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In questioning initially whether I am a great investor, I open the door to question whether other similarly esteemed public icons like Bill Miller are as well.
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Damn inflation, full speed ahead,’ Greenspan has said in both action and word. I think an investor should believe him and invest accordingly.
BILL GROSS -
Bond investors are the vampires of the investment world. They love decay, recession – anything that leads to low inflation and the protection of the real value of their loans.
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Finding the best person or the best organization to invest your money is one of the most important financial decisions you’ll ever make.
BILL GROSS