Jim welcomes back Brian Pretti CFA, managing editor of ContraryInvestor.com. Brian and Jim discuss Federal Reserve policy, and the implications of “the re-pricing of credit”. Brian believes the Fed may have kept rates at essentially zero for too long, and it’s now boxed in a corner. They look at the implications of rising interest rates on the economy, as well as the consequences of not raising rates if the economy begins to slow this year. Brian also notes the maturing of one trillion dollars in debt on the Fed’s balance sheet in the next five years. For full access to the interview, please login or click here to subscribe.
Brian Pretti is the managing editor of ContraryInvestor.com. Contrary Investor is written, edited and published by a very small group of “real world” institutional buy-side portfolio managers and analysts with, at minimum, 20 years of individual Street experience. Our credentials include CFA, CPA and CFP, as well as the obligatory MBA’s in Finance. We are all either partners or employees of institutions with at least $1 billion under management.