Billion-dollar bond fund manager Bill Gross says US trillion-dollar deficits are here to stay
Jun 9th, 2009 | By Finfacts Ireland Business & Finance Portal | Category: News worldwide
Bill Gross, the founder of multi-billion bond fund manager PIMCO, begins his June investment outlook with the famous quote from the French writer Honoré de Balzac: "“Behind every great fortune lies a great crime.” He ends with a quote from the American Depression-era comedian Will Rogers, at whose shrine I once paid homage, on Cheyenne Mountain, Colorado Springs. In between, Gross says it is probable that US trillion-dollar deficits are here to stay because any recovery is likely to reflect “new normal” GDP growth rates of 1%-2% not 3%+ as America used to have. Staying rich in this future world will require strategies that reflect this altered vision of global economic growth and delevered financial markets.