From “Reinvesting When Terrified” to Investing Purgatory Investing expert Jeremy Grantham’s market calls have a funny way of being vindicated. In the 1990’s, he was early to sound the alarm about frothy tech and internet stocks. Too early. As a result, Grantham’s money management firm, GMO, hemorrhaged billions in investor withdrawals. What happened next? All the...Read More
Parallels With Subprime Mortgage Melt-Down “The U.S. economy’s output is roughly $18.4 trillion per year. Total exports to China are very roughly $120 billion per year. That’s a lot of hamburgers, but it’s roughly seven-tenths of one percent of the U.S. economy. If our exports to China fell by 20 percent — a large number — that...Read More
