Gyroscopic Investing

Posted: **Fri Jun 10, 2016 2:42 pm**

Bond guru Bill Gross believes the growing global move toward negative yields will have dire consequences.

In a tweet from his firm, Janus Capital, Gross goes back half a millennium to assert that the current situation with the world's debt market is unprecedented and dangerous

Janus Capital @JanusCapital

Gross: Global yields lowest in 500 years of recorded history. $10 trillion of neg. rate bonds. This is a supernova that will explode one day
The warning comes as yields on Japanese government bonds and German bunds hit record lows.

Read the rest here...

http://www.cnbc.com/2016/06/10/bill-gro ... plode.html

In fairness I think it's worth remembering that 500 years ago (and even 200 years ago) lending money was a bit more risky than it is in the modern and developed world.

Posted: **Fri Jun 10, 2016 3:53 pm**

I'll always remember Bill Gross because the year I jumped into the PP and reluctantly bought my first LTT's he declared that the time had come for investors to dump U.S. bonds. So, I thought OMG what have I done? Most of you know the history but it was a banner year for LTT's. I think they were up around 33%.

So thanks for the lesson Bill.

Posted: **Sun Jun 12, 2016 10:06 pm**

These "great minds" in finance often predict crises too early, which works out to the same as being wrong.

Gyroscopic Investing

Bill Gross: $10 trillion negative yield 'supernova' will 'explode'

Bill Gross: $10 trillion negative yield 'supernova' will 'explode'

Re: Bill Gross: $10 trillion negative yield 'supernova' will 'explode'

Re: Bill Gross: $10 trillion negative yield 'supernova' will 'explode'