Barron’s 2009 Roundtable Summary: Experts See Uncertain Times Ahead

This is the first of three Barron’s Roundtable articles featuring some of the best and brightest in the investment industry. In general, these experts see more uncertainty in 2009, but think there are ample opportunities for good stock-picking strategies. Writes Barron’s Lauren R. Rublen, “The [roundtable] was rife with history lessons and warnings — and optimism, too, that those who find bargains amid the rubble will reap rich rewards. Or, as [panelist] Meryl Witmer nicely put it, ‘It is an exciting time to be a stockpicker.’” By clicking on the image below, you can see our summary of the Roundtable […]

Gross: More Gloom — and “Enormous” Opportunities

Pimco founder Bill Gross lays out some ugly economic predictions in the latest issue of Forbes, but also offers a tip for how investors can profit from the U.S. financial woes: by buying preferred shares and senior debt of financial companies benefiting from the government’s bailout spending spree. In the past year, writes Forbes’ Bernard Condon, Gross has bought $100 billion worth of such investments. Gross thinks the government will want to ensure that it gets paid back the money it has given to these financial firms, and thus will keep doing — and spending — whatever it takes to […]

PIMCO’s Gross: Stocks Cheap — According to Old Standards

Bill Gross, managing director of investment manager PIMCO, says stocks are selling at very low historical levels — but only if looked at “in the context of a financed-based economy once dominated by leverage, cheap financing, and even lower corporate tax rates”. Unfortunately, Gross writes on PIMCO’s web site, “That world … is in our past, not our future”. Gross — who six years ago incorrectly predicted the Dow, then at about 8,500, would fall to 5,000 — says increased government regulation, decreased leverage, and higher taxes will hamper entrepreneurialism and innovation. He adds that he still believes in stocks […]