In his latest investment outlook, Bill Gross, portfolio manager at Janus Capital Group, tells bond investors how they can stay out of the doghouse, so to speak, when it comes to negative interest rates around the world. Negative yielding notes and bonds in Europe now account for almost $2 trillion, as the region continues to devalue their currencies, Gross says. “Not even ‘thin gruel’ is being offered to our modern day Oliver Twist investors. You have to pay to come to the dinner table and then sit there staring at an empty plate.” What should investors do? Gross recommends staying conservative, owning high quality bonds and stocks with low price-to-earnings ratios.
Warren Buffett thinks Sen. Elizabeth Warren (D-Mass.) needs to learn to play nice. In an appearance on CNBC Monday morning, the 84-year-old Berkshire Hathaway CEO said the Senator’s anti-Wall Street stance won’t help her in the long run. “I think that she would do better if she was less angry and demonized less,” he said. “I think it’s a mistake to get angry with people that disagree with you. In the end we do have to work together… And it does not help when you demonize or get too violent with the people you’re talking to.”
The best way to show your clients that you're thinking long term is to hire interns, writes Jon Yankee for CNBC. The CFO and co-founder of FJY Financial points to CFP Board-registered programs at Texas Tech and Virginia Tech as breeding grounds for potential interns, as well as job boards on the Financial Planning Association, National Association of Personal Financial Advisors and Schwab's GrowthPoint websites. What's important, however, is not to patronize them, but to actually give them real responsibilities within the firm.