Macro matters

Financial Partners
By August 30, 2018 12:02

Macro matters

Weekly Digest

When I raise the issue of the importance of macro, I sometimes get the response: ‘no one has a good record predicting macroeconomic variables like GDP growth’; ‘where do you start when it comes to the many interrelated factors that influence inflation?’; or more bluntly ‘why bother?’. I would agree; predicting these key variables – growth, interest rates and inflation – or, more importantly, the changes in those variables is extremely difficult. This is the reason why our asset allocation process also relies on bottom-up asset class valuations. We believe that over the long-term prices will follow business fundamentals and the prices you are paying today will ultimately determine your future returns. 

Financial Partners
By August 30, 2018 12:02

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