Summit Notebook

Exclusive outtakes from industry leaders

Audio – Investments for hard times

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jen.jpgWhere is a good place to put your money in these volatile times?

Jennifer Tay, Managing Director and Head of Portfolio Counselling Investments for Asia-Pacific for Citigroup says she likes healthcare, infrastructure and utilities.

Click here to listen.

Raj Sriram, global head of the South Asia private banking arm of the Royal Bank of Scotland says to de-leverage and de-risk.

“Once there is some semblance of sanity to the marketplace, be in a position to look at what are fundamentally good opportunities from in a long term perspective. But for the short term be as static as possible, virtually do nothing apart from  de-leveraging and de-risking”.

Audio – Bubbles are fun — for awhile

schwartz.jpgSure thing, kids LOVE the bubbles. The blowing, the running around, the popping.

All the things that gives real estate investors and developers fits.

Any simple search on “real estate” in a news story for the past two years would more than likely also mention the word “bubble”. In fact, a quick Google search of “real estate” and “bubble” turned up 998 news stories — in the past month!

Feldstein: NYC housing market “priced in euros and pesos”

feldstein.jpg  Asked if weakness in the New York real estate market – which has been fairly resilient so far – could signal a bottom for the battered U.S. housing market, the head of the influential National Bureau of Economic Research said : 

 ”No, no no! The New York real estate market is priced in euros and pesos,” Martin Feldstein said,  referring to overseas investors snapping up property in the Big Apple which for them works out as a relative bargain because of the weak dollar.

Abby Joseph Cohen sees no black hole in U.S. economy

Abby Joseph Cohen“I think it’s fair to say it will not be as deep a recession, if
 it is a recession, as many people had feared not that long ago.
 There certainly is not a black hole developing in the U.S. economy,” Cohen told the Reuters Investment Outlook Summit in New York.

To hear what Cohen, one of Wall Street’s most influential strategists, had to say about the economy,  please click here.

How did Abby rate her former boss?

abby.jpgAsked to give a letter grade for the performance of U.S. Treasury Secretary Henry Paulson during the credit crisis, Goldman Sachs’ senior investment strategist Abby Joseph Cohen laughed. “I spent several years where he provided a performance review to other people,” she told the Reuters Investment Outlook Summit, about the former Goldman CEO. To find out how Paulson fared in Abby’s eyes, please click here  

   

Henry Kaufman “dismayed” by McCain’s economic flippancy

Republican presidential candidate John McCain didn’t leave the best impression on Dr. Doom.

“I was a little bit dismayed when Senator McCain said flippantly that he does not know too much about economics but carries Alan Greenspan’s book under his arm. That does not encourage me,” Henry Kaufman, president of financial consulting firm Henry Kaufman & Company told the Reuters Investment Outlook Summit.

Is a triple-A a triple-A a triple-A?

   Credit ratings agencies have been under fire from investors for giving the highest ratings for what turned out to be risky assets.
    But Standard & Poor’s President Deven Sharma told the Reuters Investment Outlook Summit investors just didn’t really understand what a triple-A rating meant.
    “It’s a question a lot of people ask: Is a triple-A a triple-A a triple-A?” Sharma said. “We reflected on it and recognised one of the things we didn’t explain to investors as much as we should have done is what comparability of ratings really  means.”
    To listen to what he had to say, please click here

Survival, yes, but what about the money?

Veteran Wall Street banking analyst Richard Bove sees Lehman Brothers surviving – but he doesn’t think they’ll be making a lot of money.
   There’s just not a lot of business there at the moment for brokers like Lehman, he told the Reuters Investment Outlook Summit in New York.
    To listen to a clip of what Bove had to say, please click here

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