Sunday, March 29, 2015

The US Stock Market -- This is a very long Bull Market By any historical Standard

Marc Faber : Globally investors can divide them into many groups, some are more hard asset oriented. A lot of private equity firms are looking at real estate, both in Asia and especially in Europe, because we understand that in Europe, the commercial yield on properties or the yield on commercial properties is 4-5% compared to zero interest rates on deposits and compared to bond yields of 0.5%. It is quite attractive.

Some people are looking at hard assets; other people believe that stocks will continue to go up for a few years. In my view, this is an assumption that is very tenuous for the following reasons. As you know the stock market in the US bottomed out on March 6, 2009. So we are now six years in a bull market. By any historical standard, this is a very long bull market since 2011, we have not had more than 11% correction. The US market is very high. In the case of India, the market performed very miserably between 2006, 2007 and essentially 2013 because of the depreciation of the rupee. So the market is actually taking off after 2013 and the bull market could last longer.

It does not however rule out meaningful corrections because we had a very strong increase in equity prices. So I would rather make investment in India than, say, in the US, but I always advocate that I also own gold and I own real estate.

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.Dr. Doom also trades currencies and commodity futures like Gold and Oil.

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Dr. Marc Faber Tomorrow's Gold

Dr. Marc Faber author of the Gloom, Boom and Doom report is a world class Investor, Doctor Faber 's typically controversial and contrarian views have earned him the label of Dr. Doom. Doctor Doom also trades currencies and commodity futures like Gold Natural Gas and Crude Oil.Even his harshest critics must admit that he's been unerringly correct in his market forecasts over the past three decades . Marc Faber is a Swiss investor.He was born in Zurich, Switzerland. He went to school in Geneva and Zurich and finished high school with the Matura. He studied Economics at the University of Zurich and, at the age of 24, obtained a PhD in Economics magna cum laude. Between 1970 and 1978, Dr Faber worked for White Weld & Company Limited in New York, Zurich and Hong Kong. Since 1973, he has lived in Hong Kong. From 1978 to February 1990, he was the Managing Director of Drexel Burnham Lambert (HK) Ltd. In June 1990, he set up his own business, which acts as an investment advisor and fund manager. Faber is publisher of the Gloom Boom & Doom Report newsletter and is the director of Marc Faber Ltd which acts as an investment advisor and fund manager.

Dr Faber studied economics at the University of Zurich and, at the age of 24, obtained a PhD in economics. He publishes a widely read monthly investment newsletter The Gloom, Boom & Doom Report, which highlights unusual investment opportunities, and is the author of several books, including Tomorrow’s Gold – Asia’s Age of Discovery which was first published in 2002 and highlights future investment opportunities around the world. Tomorrow’s Gold was for several weeks on Amazon’s bestseller list and has been translated into Japanese, Korean, Thai and German. A regular speaker at various investment seminars, Dr Faber is well known for his contrarian investment approach. He is also associated with a variety of funds.