There are many very clever investment firms – Baillie Gifford takes a long view to recognise and consider the future and trends, while Bridgewater is taking a view on inflation and rates. But, what if the most important factor likely to drive long-term returns proves to be the destabilising consequences of the last 10-years of interest rate repression and the distortion of rules, regulations and fads? These could prove the “no-see-ems” that tumble markets!
The inflation/deflation debate continues to roll thin summer markets, but the bigger issues are probably elsewhere. What’s happening to markets as they become increasingly consensus led, and focused more on compliance than sentiment?
Nothing to worry about… except Pandemic, Bonds, Inflation or Deflation, Record Container Prices and Geopolitics? Is there any chance of compromise and a deal on the US infrastructure package everyone agrees is necessary – or will it sink into the partisan swamp? And Cathie Wood talks up her investment strategies – but what’s the substance behind the leading Zeitgeist Investor?