Partners In Investing

Amazingly, after one (admittedly strong) quarter, we have started to get the odd question as to whether the Value vs. Growth reversal has played out. Despite a late-quarter surge in Growth, the answer is an emphatic “No!”

It’s not just interest rate changes that affect the markets – changes in the Fed balance sheet can also have a significant impact. We believe systematic macro strategies can help diversify this risk.

Humanity must decarbonize our economy. This will be spectacularly resource intensive, relying on commodities that are finite in supply. Jeremy Grantham discusses the implications of this.

Given the rush to hedge and a reduced investor risk appetite, high yield index products are now trading at deep discounts to their net asset values.

As we move through the fourth bubble era in GMO’s history, we’ve once again positioned our portfolios to reduce risk and take advantage of what we believe will be a generational opportunity to add alpha.

Ben Inker advises how to avoid common mistakes we see investors making currently, which will spare investors a lot of grief and serve them very well in the long term.

Entering the New Year, we note a striking improvement in EM local debt valuations supported by historically high levels of real yield differentials while our emerging external debt valuation levels remain in neutral territory.

Lucas White, lead portfolio manager of GMO’s Resources Strategy, makes the case for resource equities and discusses what he believes may be a one-in-a-hundred-years opportunity in the sector.