While stocks are up slightly this year, Marc Faber of the Gloom, Boom & Doom Report says that a “stealth bear market” has been going on under the surface.
Bond guru Bill Gross says central banks across the globe are playing a “shell game” with financial markets. And once the game ends, he thinks markets are likely to tumble.
It seems that hedge fund guru Ray Dalio’s take on China has changed — though to what degree is debatable.
China’s slowing economy may be the biggest threat to the global economy according to Marc Farber.
Fund Manager Of The Decade David Herro says that, while they are causing short-term bumps, the decline in oil prices and reforms in China should help investors down the road.
Newsletter guru Jim Oberweis, whose China fund is in the top 1% of funds in its class over the past one, three, and five years, according to Morningstar, says investors look at China the wrong way.
Top U.K. fund manager Anthony Bolton says he’s expecting a rebound in Chinese growth next year.
Bolton tells Investment Week that he thinks China’s growth has actually been slower than the official 7.5% figure being cited this year. “The headline figure is not reliable and I think growth has come down below that this year,” he says. But he sees better growth in 2013, and says that economic improvements and the fact that China’s elections are over should help spur Chinese stocks next year.
“The bear market will change soon in the A share market,” he said. “The economic cycle is now in its favour, as is the political process.”
Sectors that Bolton was high on in 2012, including healthcare and consumer discretionary stocks, struggled. But he’s sticking with them heading into 2013, expecting that the changing conditions will lead to bounce-backs.